Nordic & Swiss Data Response Norwegian & Danish Consumer Prices (May) The weaker-than-expected inflation data for May from Norway are unlikely to prevent the Norges Bank from hiking interest rates again at its policy meeting next week. But they increase the chance that... 11th June 2019 · 1 min read
Commodities Update Implications for oil of an escalation in the trade war We have now incorporated an escalation in the US-China trade war into our global economic forecasts. As it happens, we think that the negative impact on global GDP growth will be relatively contained... 10th June 2019 · 1 min read
Global Economics Update Implications for oil of an escalation in the trade war We have now incorporated an escalation in the US-China trade war into our global economic forecasts. As it happens, we think that the negative impact on global GDP growth will be relatively contained... 10th June 2019 · 1 min read
US Housing Market Chart Pack Mortgage rates set to drop to 2½-year lows Mortgage interest rates are set to fall to their lowest level since the end of 2016, but that will not trigger a surge in housing market activity. Concerns over the health of the economy means home... 10th June 2019 · 1 min read
Canada Economics Focus How will the Bank respond to the next downturn? The risk of a recession is arguably higher in Canada than elsewhere and the low level of interest rates limits the ability of the Bank of Canada to respond. Even if the Bank utilises unconventional... 10th June 2019 · 1 min read
UK Data Response Monthly GDP & Trade (Apr.) April’s GDP figures suggest that the Brexit hangover in Q2 has been heavier than we had expected. We had previously thought GDP would rise by 0.2% q/q in Q2 as a whole, but it’s now possible that GDP... 10th June 2019 · 1 min read
Latin America Economics Update Chilean rate cut likely to be a one-off We think that the surprise decision by Chilean policymakers to cut the policy interest rate by 50bp on Friday night to 2.50% will prove to be a one off. Interest rates are likely to remain unchanged... 10th June 2019 · 1 min read
Emerging Europe Economics Update Russia: underlying price pressures are contained The rise in Russian inflation in late-2018 and early-2019 was driven largely by higher food prices and a VAT hike. To overcome these distortions, we’ve created a measure of ‘underlying’ inflation... 10th June 2019 · 1 min read
Commodities Update Little to cheer in China’s May trade data China’s commodity import volumes were subdued last month, which is consistent with our view of soft Chinese domestic demand and downward pressure on commodity prices. Moreover, while there was no... 10th June 2019 · 1 min read
Middle East & North Africa Data Response Egypt Consumer Prices & Whole Economy PMIs (May) The rise in Egyptian inflation in May, combined with upcoming subsidy cuts, means that the central bank will almost certainly refrain from resuming its easing cycle in the coming months. Meanwhile... 10th June 2019 · 1 min read
Commodities Weekly Fed easing not a panacea for commodities Driven in large part by investors pricing in a greater degree of interest rate cuts in the US, the gold price leapt to its highest level in over a year this week. That same anticipation of policy... 7th June 2019 · 1 min read
Latin America Economics Weekly Mexico & tariffs, Brazil’s pension reform, Chilean rates Mexico has yet to strike a deal with the US to prevent tariffs being imposed on Monday, but one crumb of comfort is that (so far at least) financial conditions haven’t tightened significantly... 7th June 2019 · 1 min read
Industrial Metals Update The US steel price bloodbath is not over yet US steel prices have tumbled by more than a third over the past year and we think that a weaker US economy, combined with rising imports, means prices should fall by a further 15% over the next year. 7th June 2019 · 1 min read
US Economics Weekly Trade war escalates with economy already weakening This week we formally incorporated a further escalation of the US-China trade dispute into our baseline macro forecasts, shaving 0.2% points off US GDP growth both this year and next, taking us to 2.2... 7th June 2019 · 1 min read
Capital Daily Prospect of US rate cuts unlikely to keep S&P 500 rally going 7th June 2019 · 1 min read
