Nordic & Swiss Economics Update Norges Bank rate cut still a possibility The Norges Bank left interest rates unchanged today as concerns about financial stability once again outweighed the need to weaken the currency and boost inflation. But the Bank once again pushed back... 20th June 2013 · 1 min read
Africa Economics Update S. Africa: current account data provide respite for the rand South Africa’s current account deficit narrowed slightly in Q1, helping to ease some of the near-term pressure on the rand. But the fact that the deficit is being funded in large part by short-term... 19th June 2013 · 1 min read
Emerging Europe Economics Update Protests hit Turkish markets Turkey’s financial markets have taken a pounding over the past few weeks as the recent wave of protests caused investors to take fright. Elsewhere, currencies and foreign currency bonds have lost... 19th June 2013 · 1 min read
Middle East & North Africa Economics Update Egypt: pound's devaluation has further to go In spite of the Central Bank of Egypt’s best efforts, it appears to be only a matter of time before the Egyptian pound breaks through 7/US$. And there is a growing risk that, without an IMF deal, the... 18th June 2013 · 1 min read
Asia Economics Update Rupee weakness complicates India's policy outlook Growing concern about the rupee’s decline and lingering worries about inflation appear to have been the key factors in the Reserve Bank of India’s decision to keep the repo rate unchanged at 7.25%... 17th June 2013 · 1 min read
Asia Economics Update Rest of Asia unlikely to follow Indonesia's tightening path Bank Indonesia’s unexpected decision to hike its main policy rate today reflects concern about recent downward pressure on the rupiah and worries over the inflation outlook. Further hikes will follow... 13th June 2013 · 1 min read
Global Markets Update What's behind the rebound in the yen? The rebound in the yen and associated weakness in Japanese equities reflect fears about the outlooks for monetary policy in both Japan and the US. However, these fears look increasingly overdone. 13th June 2013 · 1 min read
Asia Economics Update New Zealand will remain reluctant to hike rates The Reserve Bank of New Zealand (RBNZ) kept its policy rate at 2.5% today. We continue to expect the cash rate to remain on hold until the end of the year and to be kept low in 2014. 13th June 2013 · 1 min read
Emerging Markets Economics Update Which EMs should be worried about weaker currencies? Most EMs are likely to tolerate the recent sell-off in their currencies. In some places this may even be welcomed. But there are a few exceptions. Inflation concerns mean that currency weakness will... 12th June 2013 · 1 min read
Asia Economics Update Rupee decline highlights India’s fundamental weaknesses Talk of “policy tapering” by the Federal Reserve has been the catalyst for a broad-based sell-off in emerging market currencies. Within Asia, the worst performer has been the rupee. Its decline... 12th June 2013 · 1 min read
Africa Economics Update What is driving the weakness of the South African rand? Around half of the fall in the rand over the past month or so appears to have been due to global factors, while the other half has possibly been due to domestic factors such as labour unrest. With... 11th June 2013 · 1 min read
Global Markets Update Emerging market currencies to remain under pressure Emerging market currencies have generally been hit hard over the past month, with sentiment further souring in the wake of the latest US FOMC minutes. We think many will remain under pressure this... 10th June 2013 · 1 min read
Latin America Economics Update Second devaluation would not solve Venezuela's woes Another devaluation of the bolivar would do nothing to solve Venezuela’s shortage of foreign currency. Until or unless the government changes tack and adopts a more market-friendly economic framework... 10th June 2013 · 1 min read
Asia Economics Weekly Asian currencies take a tumble A number of Asian currencies have experienced big falls against the US dollar over the past few weeks. This Weekly looks at which currencies have been hit the hardest, the factors behind the recent... 10th June 2013 · 1 min read
Global Markets Update What next for the Nikkei? The markets’ honeymoon with the Abe government has ended, but it seems premature to consider filing for divorce. Indeed, the worst of the correction in the Nikkei may soon be over. 5th June 2013 · 1 min read
Emerging Europe Economics Update Latvia is still no role model for the euro-zone periphery Today’s convergence report by the EC, which gave the green light to Latvia to join the euro-zone in 2014, is likely to lead to further suggestions that Latvia serves as a role model of “internal... 5th June 2013 · 1 min read
