Two parties in Italy are nearing a government coalition, where the anti-establishment 5-Star Movement and the far-right League are both looking to challenge EU limits on government borrowing and spending. If the coalition brings on the aimed tax-cutting and high-spending policies, it may set the stage for the next Eurozone crisis. As Italy has a […]
As per the numbers that came out yesterday, the US housing market continued to fall due to the shortages of land and skilled labor. The housing stats dropped in April by 3.7% to seasonally adjusted annual rate of 1.287 million units according to the Commerce Department. Building permits fell 1.8%. According to Reuters, constraints imposed
US building permits fall in April, while the manufacturing output rises Read More »
Yesterday the German ZEW economic sentiment numbers came close to levels last seen in 2012, emphasizing the ongoing concerns of the health of the EU’s largest economy. While the analysts were expecting the index to improve to -8.0 points, the ZEW Center for Economic Research came with -8.2 points in May. To explain the numbers
On Monday, the Fed President, Mester stated that it is to be expected that a gradual approach will be continued regarding the raise of interest rates as the inflation did not yet reach the 2% goal set by the US central bank. According to Reuters, Mester stated that the medium-run outlook supports the gradual raise
The Fed will continue gradual approach to interest rate rise Read More »
According to Reuters, Europe’s biggest economies took steps on Friday in order to protect their political and commercial interests in Iran. Their objective is to keep the nuclear deal with Iran live after the threat of the US imposing sanctions following their dismissal of the agreement. In addition, the US threatens with penalties to any
On Thursday all eyes were on the macroeconomic data coming from the UK, where the British industrial output hardly rose in March, just to confirm the gloomy 1st quarter for the UK’s economy. The data was released along with the construction industry figures and overseas trade, which did nothing to change the picture of the
On Tuesday, the newswires were dominated by the decision made by President Trump, to pull out from the Iran nuclear deal. The US President pulled out of the 2015 deal, which places limits on Iran’s nuclear program in exchange for compromise with the West. Namely, according to Bloomberg, Trump wants to force Iran into a
Trump withdrawn the Iran deal, markets reacted little to the news Read More »
The investors were closely monitoring the Fed Chair Powell speech yesterday regarding the gradual policy rate increases. As the US central bank’s chairman stated earlier yesterday, the Fed interest rate hikes may not pose a big risk after all on the global financial and emerging market economies, as many have thought. According to Reuters, the
According to Reuters, the investor morale in April has continued to deteriorate, making it the fourth month in a row. According to a survey presented on Monday, the morale is at its lowest since February 2017 and it has been greatly influenced by the threat coming from the US regarding the possible introduction of tariffs
On Friday we have witnessed a slowdown on Eurozone economic growth, where services PMI figures were released and almost all missed the forecast. Composite PMIs for Germany, France and Spain all fell from March readings while France’s held steady. According to Reuters, EU business growth has faded in April, however the picture remained relatively bright
