International Monetary System Ill-Equipped to Handle Global Problems, Asian Economists Say
October 7, 2016--India's Subbarao recalls 'carnage in our external sector' in 2013
Japan's Sakakibara: 'secular stagnation' may have arrived
Need is seen for international monetary arbiter, bilateral swap lines
The international monetary system may be ill-equipped to deal with a host of modern problems, from climate change to abrupt shifts in capital flows across borders, according to current and former Asian policymakers at an IMF seminar in Washington, D.C.
view the Strengthening the International Monetary System—a stocktaking report
Source: IMF
DECPG Global Weekly-October 7, 2016
October 7, 2016--TAKING STOCK
U.S. economy added fewer non-farm jobs than expected in September
Euro Area PMI fell to 20-month low in September
Japan services PMI fell sharply in September
British pound tumbled against the dollar and the euro
India's central bank cut interest rates
WEEKLY INSIGHT
How has Credit to the Nonfinancial Private Sector Evolved in Emerging Market and Developing Economies?
Since the global financial crisis, credit to the nonfinancial private sector has grown rapidly in several emerging market and developing economies (EMDEs). Credit growth has been most pronounced in commodity-exporting countries. In contrast, in commodity- importers, credit-to-GDP ratios have been stable or shrinking over the past few years.
Source: World Bank
Countries Need Smart Policies to Benefit from Technology's Full Potential
October 6, 2016--Technology could bring significant growth to global economy in next decade
New education model needed to help workers adapt
Cultural, organizational changes have to keep pace with technological change
Technological change has the potential to transform the lives of people around the world for the better, but it will be important to get the policies right or the digital divide will grow...
Source: IMF
Infographic-Black Swans: 9 Recent Events That Changed Finance Forever
October 5, 2016--Almost every market participant out there has at least one horrific war story on a crash that profoundly affected their portfolio or world view.
Source: visualcapitalist.com
IMF-Low Growth, Inflation Hamper Debt Reduction
October 5, 2016--Global debt at record highs, rising
Two-thirds represents private sector liabilities
Fiscal policy can help facilitate private sector deleveraging
Global debt, currently at an all-time high, could thwart the fragile economic recovery, the IMF said today in the latest Fiscal Monitor.
Reducing debt significantly will require fiscal policies that support economic activity, and facilitate the restructuring of private debt and the cleanup of non-performing bank loans.
view the IMF Fiscal Monitor (FM) Debt: Use it Wisely October 2016
Source: IMF
Low Growth, Interest Rates Impact Financial Stability
October 5, 2016--Short-term risks have declined, medium-term risks building
Banks, regulators need to tackle structural challenges
Low interest rates help emerging market corporations shed debt
Financial stability risks that were bright on the radar screen six months ago-including Brexit and its possible global repercussions, high levels of corporate indebtedness in emerging markets, and uncertainties about China's growth transition-have abated, according to the International Monetary Fund's latest Global Financial Stability Report.
Source: IMF
Infographic-Commodity Update: Is the Summer Slump Over?
October 4, 2016--Last update, we triumphantly proclaimed that commodities were "back".
However, we did forget to add one important caveat, which is that they could still get hit hard in the short-term by the classic "Sell in May and Go Away" market sentiment.
Source: visualcapitalist.com
S&P Global Equity Indices Monthly Update September 2016
October 4, 2016--The S&P Global Equity Indices Monthly Update September 2016 is available.
Source: S&P Dow Jones Indices
WGC-Market Update: Price drop likely to spur demand
October 4, 2016--Gold remains a key portfolio component in this environment Following a remarkable performance year-to-date, the gold price fell by over 3% on 4 October, which we believe will likely result in physical buying
The move seems to have been driven by speculation of a scaling back in the ECBs asset purchase programme, combined with rising expectations of a US rate hike in December.
Source World Gold Council (WGC)
IMF Sees Subdued Global Growth, Warns Economic Stagnation Could Fuel Protectionist Calls
October 4, 2016--Global growth subpar at 3.1 percent in 2016, with slight increase to 3.4 percent next year
Persistent stagnation in advanced economies could further fuel anti-trade sentiment, stifling growth
Countries need to rely on all policy levers-monetary, fiscal and structural-to lift growth prospects
Global economic growth will remain subdued this year following a slowdown in the United States and Britain's vote to leave the European Union, the IMF said in its October 2016 World Economic Outlook.
view the World Economic Outlook (WEO)Subdued Demand: Symptoms and Remedies October 2016
Source: IMF