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Economics

Euro strength is a source of weakness

BENJAMIN ONG  |  FRIDAY, 8 SEP 2017
While the ECB kept monetary policy unchanged following last night's meeting, it did mention the euro in its monetary policy statement and was discussed in Draghi's Q&A.

Canada economic growth changes gears

BENJAMIN ONG  |  THURSDAY, 7 SEP 2017
Most were expecting the Canadian central bank to stand pat on monetary policy. But 20/20 hindsight vision makes it clear the BOC needed to follow-up the 25 basis point hike on 12 July with another.

Markets are stronger than Trump

ALEX BURKE  |  WEDNESDAY, 6 SEP 2017
Ariel Investments president Mellody Hobson believes market fundamentals are stronger than any current geopolitical volatility.

Boring is good

BENJAMIN ONG  |  WEDNESDAY, 6 SEP 2017
In his first year as head honcho of the Australian central bank, Philip Lowe kept the official cash rate where he found it - at a record low 1.5%.

Who's afraid of North Korea? Not the South Koreans

BENJAMIN ONG  |  TUESDAY, 5 SEP 2017
Unlike the Asian financial crisis of 1997-98 that saw the country's capital markets dropped precipitously, there's nothing of that today. In fact, buy orders appear to be the order du jour.

Higher and higher

BENJAMIN ONG  |  MONDAY, 4 SEP 2017
Expensive valuations, concerns that the war of words between Washington and Pyongyang could escalate into a real nuclear one, the possible breach of the US debt ceiling and, lately, Hurricane Harvey - singly or combined - couldn't dent positive sentiment ...

The negatives in the positive jobs report

BENJAMIN ONG  |  FRIDAY, 18 AUG 2017
All of the jobs created in July were part-time (up 48,200 from June) and worse, 20,300 full time jobs were lost over the month. That doesn't spell accelerating wages growth.

Wage freeze

BENJAMIN ONG  |  THURSDAY, 17 AUG 2017
Slow Australian growth in nominal wages is being outpaced by increases in consumer prices. For the June quarter growth in real wages is zero.

Fed gets green light

BENJAMIN ONG  |  WEDNESDAY, 16 AUG 2017
US data releases dumped on our screens overnight, combined with easing US/North Korean tensions, provide another green light for the Fed to proceed with policy normalisation.

ECB disengages from currency war

BENJAMIN ONG  |  TUESDAY, 15 AUG 2017
The ECB and its president Mario Draghi have so far been conspicuous in not voicing out their trepidation over the euro's sharp appreciation. Unlike in previous episodes of rising euro exchange rate, there's nary a word uttered to jawbone the currency ...