Europe Economics Update Iceland won’t unfreeze capital flows anytime soon Five years since they were implemented, Iceland still relies on ‘temporary’ capital controls to support its currency. And they are likely to remain in place for some time yet despite the new... 28th May 2013 · 1 min read
Europe Economics Update Euro-zone Fiscal Monitor (May) Recent fiscal data suggest that Greece has continued to make good fiscal progress, but the other southern euro-zone economies are not faring quite as well. 28th May 2013 · 1 min read
Latin America Economics Update Mexican current account deficit not a concern... yet The fact that the Mexican current account deficit has doubled over the past year is not as alarming as it appears. The deficit remains small and there are no signs of a consumer import binge... 28th May 2013 · 1 min read
US Housing Market Data Response Case-Shiller Home Prices (Q1) In the first quarter, the annual rate of house price growth moved back into double-digit territory on each of the three main Case-Shiller Home Price Indices. These were the first double-digit readings... 28th May 2013 · 1 min read
Emerging Europe Economics Update Hungary’s scope to ease policy limited by FX debt The weakness of Hungary’s economy, coupled with below-target inflation, means that further interest rate cuts are likely over the next couple of months. However, we think the country’s high level of... 28th May 2013 · 1 min read
Global Markets Update EM equities set to underperform further Despite the global rally over most of the past month, emerging market equities have continued to underperform developed market equities. We expect this pattern to persist. 28th May 2013 · 1 min read
Africa Economics Update South African GDP growth slumps in Q1 South African GDP growth was slower than expected in Q1, and the outlook for the coming quarters is not very promising either. Nevertheless, the fresh sell-off in the rand leaves the Reserve Bank with... 28th May 2013 · 1 min read
Europe Commercial Property Update Artificially low Zurich office yields set to rise The low level of prime office yields reported in Zurich could be a sign of strong investor confidence in that city. We suspect, however, that they have been artificially depressed by a small number of... 28th May 2013 · 1 min read
Emerging Markets Economics Update Weaker growth keeps EM central banks in easing mode In aggregate terms, EM monetary policy has been loosened over the past six months. But there has been a big difference between the actions of central banks in each EM region. In Europe and, more... 28th May 2013 · 1 min read
Commodities Update Rise in soybean prices unlikely to be sustained The recent strength in US soybean prices has been driven by fears of tight supplies as congestion at Brazilian ports delays exports. However, as the logistical problems ease and planting of the new... 28th May 2013 · 1 min read
Japan Economics Update Small business survey illustrates risks to recovery The incoming economic data are of course being overshadowed by the market volatility, but today’s Shoko Chukin survey suggests that small businesses may be losing a little faith in “Abenomics” too. 28th May 2013 · 1 min read
Nordic & Swiss Economics Update Iceland won’t unfreeze capital flows anytime soon Five years since they were implemented, Iceland still relies on ‘temporary’ capital controls to support its currency. And they are likely to remain in place for some time yet despite the new... 28th May 2013 · 1 min read
China Economics Update Property stocks lead rebound again China’s equity prices have recovered somewhat this month. Meanwhile, the renminbi has been allowed to appreciate at a faster pace. 27th May 2013 · 1 min read
Japan Economics Weekly Taking stock of the recent market volatility If the global financial community was not already following the progress of “Abenomics” closely, Thursday’s slump in the Nikkei has certainly focused worldwide attention on what is happening in Japan... 27th May 2013 · 1 min read
Canada Economics Weekly Deflation alert Underlying inflation has fallen below the Bank of Canada's inflation 1% to 3% target range and could decline even further if the real economy underperforms this year. Accordingly, without additional... 27th May 2013 · 1 min read
