Commodities Update US debt deal is not the end of the road for gold’s bull run Despite the deal to extend the US debt limit, the price of gold hit record highs late yesterday. We think this makes sense. Although the deal may cut investors’ aversion to risk, it signals the onset... 4th August 2011 · 1 min read
Asia Economics Focus Should we be worried about sovereign debt in Asia? Emerging Asia is not in any imminent danger of a sovereign-debt crisis: debt levels in most countries are low, while strong growth makes it easier to finance debt burdens. However, another sharp... 4th August 2011 · 1 min read
Middle East & North Africa Data Response Saudi Arabia HSBC/Markit PMI (Jul) July’s PMI data show that output in Saudi Arabia’s non-oil private sector grew at its slowest rate since the beginning of 2010. However, exports growth hit a record high in July. This is good news... 4th August 2011 · 1 min read
China Economics Update Inflation Monitor (Jul.) Pork prices fell in the second half of July. It is too soon to sound the all-clear. But given that consumer price inflation in everything except pork was stable over the first half of the year, this... 4th August 2011 · 1 min read
Europe Data Response Euro-zone Retail Sales (Jun.) & Final Comp. PMI (Jul.) June’s rise in euro-zone retail sales does little to alter our view that consumers remain badly placed to offset the slowdown in other sectors of the economy. 4th August 2011 · 1 min read
Japan Economics Update Services sector activity slows in July The services PMI was weaker in July than in June, suggesting the recovery in tertiary sector activity may have stalled at the start of Q3. Whilst businesses are optimistic that reconstruction-related... 4th August 2011 · 1 min read
Europe Chart Pack Core economies weakening The past month has brought the firmest signs yet that the euro-zone economic slowdown is spreading from the region’s periphery to the northern “core”. July’s decline in the German Composite PMI was... 4th August 2011 · 1 min read
UK Data Response CIPS/Markit Report on Services (Jul. The improvement in July’s UK CIPS/Markit report on services came as a bit of a relief after the recent run of poor data on the economy and suggested that the services sector is holding up better than... 4th August 2011 · 1 min read
UK Economics Chart Pack Recovery still struggling After the disappointing second quarter, there are few signs that the recovery has since got back on track. 4th August 2011 · 1 min read
Europe Economics Update What next for Italy and Spain? Hopes that the latest Greek rescue package would limit contagion effects on Italy and Spain have already faded. But we still think that markets are too sanguine about growth prospects for both... 4th August 2011 · 1 min read
Emerging Europe Economics Update Turkey MPC meeting to focus on the lira The Central Bank of Turkey has announced that the MPC will hold an (unscheduled) interim meeting tomorrow, which, it seems, is likely to result in fresh measures to prevent a disorderly adjustment in... 4th August 2011 · 1 min read
Europe Economics Update SNB action unlikely to stem the franc’s rise The Swiss National Bank’s decision to cut interest rates to almost zero and embark on a renewed bout of quantitative easing to stem the franc’s appreciation looks pretty bold. But we still think that... 4th August 2011 · 1 min read
US Housing Market Data Response CoreLogic House Prices (Jun.) & Mort. Apps (Jul.) CoreLogic's measure of house prices shows that, after stripping out the normal seasonal uplift, prices fell back in June. With the number of mortgage applications having declined in July and the... 4th August 2011 · 1 min read
Asia Economics Update The Philippines targeting investment grade The Philippines has seen its fiscal deficit fall sharply during the first six months of the year. Although revenue growth has been growing strongly, the fact that government spending has fallen... 4th August 2011 · 1 min read
Middle East & North Africa Data Response UAE HSBC/Markit PMI (Jul) July’s PMI data show that the UAE’s non-oil private sector is still growing, but the pace of growth has slowed. The deteriorating global economic climate and the country’s own credit squeeze seem to... 4th August 2011 · 1 min read
