China Economics Update Key takeaways from the National People’s Congress The opening day of the National People’s Congress has thrown up a new growth target – exactly as expected – and confirmation that the government is holding the line on property market controls. 5th March 2012 · 1 min read
Europe Economics Update Will the Greek debt deal go through? A high participation rate in the Greek debt exchange would reduce the chances of an imminent disorderly default. But even if all bondholders take part, Greece’s public debt burden will remain... 5th March 2012 · 1 min read
Middle East & North Africa Economics Update Egypt’s central bank is running out of ammunition At first glance, today’s data showing that the pace of decline in Egypt’s foreign currency reserves slowed last month is good news. Indeed, Egyptian markets have been buoyed by hopes that the economy... 5th March 2012 · 1 min read
Emerging Europe Economics Focus Instability to define Putin’s third term in office The widespread assumption among investors that Vladimir Putin’s decisive victory in yesterday’s presidential election will deliver stability to Russia’s economy and its financial markets seems... 5th March 2012 · 1 min read
Latin America Economics Update Capital inflows threaten to destabilise Latin America Large capital inflows to Latin America have resumed in recent months. If we are right in expecting the euro-zone crisis to worsen later this year, then risk appetite is likely to deteriorate and lead... 5th March 2012 · 1 min read
BoE Watch MPC losing appetite for more QE Having only just extended its quantitative easing programme by £50bn at last month’s meeting, the MPC is very unlikely to do anything at this week’s meeting. What’s more, comments by Committee members... 5th March 2012 · 1 min read
UK Data Response CIPS/Markit Report on Services (Feb.) February’s CIPS/Markit report on services echoed the manufacturing survey released last week in suggesting that the recent pick-up in economic activity has already started to fade. 5th March 2012 · 1 min read
Middle East & North Africa Data Response Saudi Arabia HSBC/Markit PMI (Feb.) February’s PMI data show that Saudi Arabia’s non-oil private sector continued to grow strongly on the back of robust domestic demand and an improvement in the external environment. 5th March 2012 · 1 min read
Middle East & North Africa Data Response UAE HSBC/Markit PMI (Feb.) PMI data show that activity in the UAE’s non-oil private sector slowed last month. Although external demand picked up sharply, this was offset by weaker domestic demand. 5th March 2012 · 1 min read
Asia Economics Weekly Policymakers in wait-and-see mode The trend in Asia has been towards loosening policy recently. However, signs of stronger global growth and the pick-up in oil prices are likely to persuade central banks across the region to keep... 5th March 2012 · 1 min read
Canada Economics Weekly Investment reliant on sustained high oil prices With oil prices riding high, the outlook for business investment this year looks pretty good. We would feel more comfortable, however, if investment plans were not so dependent on the fate of one... 5th March 2012 · 1 min read
Japan Economics Weekly How much will the auto-subsidy boost GDP? The reintroduction of a government subsidy on fuel-efficient vehicles propelled a big increase in retail spending and industrial production in January. The subsidy should provide some support to auto... 5th March 2012 · 1 min read
Europe Economics Weekly Will stubborn inflation scupper recovery hopes? Recent euro-zone price developments suggest that inflation will remain stubbornly high over the coming months and damage previous hopes that sharp falls in inflation would partly offset the negative... 5th March 2012 · 1 min read
US Economics Weekly Banking sector getting stronger Much attention has focused on the surge in European banking stocks since the ECB first announced its LTRO bank lending scheme. But over the same period, US banking stocks have also risen by 20%. And... 5th March 2012 · 1 min read
UK Economics Weekly King fends off pressure to follow ECB Mervyn King faced tough questioning by the Treasury Committee last week on a couple of issues - and fought back hard. The Governor strongly resisted suggestions that the Bank of England should follow... 5th March 2012 · 1 min read
