Currency Markets in the News
German Inflation Depresses Financial Market Sentiment
July 21, 2008
Similar to Britain (see previous post), German inflation is too high at all levels but looks most worrisome at earlier stages of production. Consumer prices advanced 3.3% in the year to June but advanced at a slightly lower 3.1% annualized rate in 1H08 than the 3.5% rate in 2H07. The deceleration was pronounced outside of [...] More
Should U.K. Inflation Be Ignored?
July 21, 2008
David Blanchflower, a member of the Bank of England 9-person monetary policy committee and an economics professor at Dartmouth College, has publicly characterized the central bank stance as inappropriately tight. He escalated his warnings today, suggesting that since Britain’s housing correction is likely to be as severe as America’s but without the offsetting macroeconomic easing [...] More
Chinese Growth Still High
July 21, 2008
Although on-year real GDP growth slowed from 11.9% in 2Q07 to 11.7% in 4Q07 and 10.1% in 2Q08, underlying growth in the first half of 2008 surpassed 10.0% and was about a percentage point stronger than in the fourth quarter of 2007. The main loss of steam has been in export growth, which weakened to [...] More
New Overnight Developments Abroad - Daily Update
New Developments Abroad: Asian Equities Higher
July 21, 2008
Equities advanced strongly in Asia by 3.4% in China, 3.5% in South Korea, 2.6% in Thailand, 2.5% in Indonesia, 3.0% in Hong Kong, 3.5% in Australia, and 1.6% in India. Japanese markets were closed for Ocean Day. In Europe, the Paris Cac is 1.7% higher, but the British Ftse (+0.2%) and German Dax (0.0%) are more [...] More
