Asia Economics Weekly Worries over weak won, Pakistan nearing IMF deal The weakness of the Korean won, which has fallen by over 8% against the US dollar since the start of 2022, is likely to be welcomed by the country’s exporters, who face the prospect of a sharp... 1st July 2022 · 6 mins read
China Economics Weekly Banks given more room to lend, housing vouchers Bank lending has been weak recently but that could soon change. Quantitative controls on loans were loosened further in Q2, giving banks room to ramp up lending as credit demand rebounds following... 1st July 2022 · 4 mins read
Capital Daily Central bank put still missing in action Despite renewed falls in equity markets and broadening signs that investors are bracing for a major slowdown in the global economy, most central banks appear determined to press ahead with the most... 30th June 2022 · 7 mins read
Africa Chart Pack Hawkish shift creates difficult environment for Africa The hawkish turn by DM central banks over the past month has further soured investor risk appetite, and capital inflows into African economies are likely to have slowed. Countries with large external... 30th June 2022 · 12 mins read
Middle East & North Africa Economics Update SAMA likely has more to do to ease liquidity concerns Reports that the Saudi Central Bank (SAMA) has injected liquidity into the banking sector appears to be a consequence of a lack of FX intervention (despite high oil prices), tight fiscal policy and... 30th June 2022 · 5 mins read
Nordic & Swiss Economics Update Riksbank to front-load rate hikes and accelerate “QT” As expected, this morning’s 50bp interest rate hike by the Riksbank, to +0.75% saw it join the ranks of the “50bp club”. But while policymakers resisted the urge to join “Club Fed” with a 75bp hike... 30th June 2022 · 3 mins read
Emerging Europe Chart Pack Tightening cycles still have some way to go Inflation has continued to beat expectations across Emerging Europe over the past month, reaching rates not seen in decades in most countries. It is now weighing more heavily on consumer confidence... 29th June 2022 · 13 mins read
Canada Chart Pack Tight labour market pushing up wages The tight labour market is putting upward pressure on wages, with the Labour Force Survey showing a strong 1.0% m/m rise in average hourly earnings in May. While the annual rate of wage growth, at 3.9... 29th June 2022 · 8 mins read
Latin America Chart Pack High inflation fuels strikes and protests High inflation seems to be causing growing unrest in the region, which threatens to be economically disruptive and raise fiscal concerns. Recent protests in Ecuador have hit its oil sector hard, while... 28th June 2022 · 14 mins read
Emerging Europe Economics Update MNB sends a strong message with monster rate hike Hungary’s central bank (MNB) stepped up the pace of tightening today with a much larger-than-expected 185bp increase in its base rate, to 7.75%, and the hawkish communications underline the view that... 28th June 2022 · 2 mins read
China Chart Pack Domestic weakness frees up ports for exports The Omicron virus wave in China appears to have eased global shipping bottlenecks rather than worsened them as many had feared. Firms were able to re-route shipments through other ports to avoid... 28th June 2022 · 12 mins read
RBA Watch RBA to keep hiking by 50bp for now The Reserve Bank of Australia will probably lift the cash rate by another 50bp in July and August before reverting to smaller 25bp hikes. However, the risks are tilted towards a prolonged period of... 28th June 2022 · 7 mins read
Asia Chart Pack Thai economy to receive tourism boost After more than two years in the doldrums, Thailand’s tourism sector is finally showing signs of life. Arrivals in May reached 520,000 – a 77% increase from the previous month and 19% of the level... 27th June 2022 · 14 mins read
Latin America Economics Weekly Petro reaction, Lula’s plans, hawkish central banks Gustavo Petro’s win in Colombia’s presidential election has caused tremors in the country’s financial markets. While the appointment of a centrist finance minister could help to settle investors’... 24th June 2022 · 6 mins read
Japan Economics Weekly Respite for BoJ doesn’t weaken case for a policy tweak Pressure on the Bank of Japan’s Yield Curve Control framework eased this week. On the campaign trail for the Upper House election, where inflation has emerged as a key concern, Prime Minister Kishida... 24th June 2022 · 8 mins read
Canada Economics Weekly Further rise in inflation cements 75 bp hike The May CPI data showed that inflationary pressures remain acute across the economy, which reinforces our view that despite growing concerns about the housing market, the Bank of Canada will become a... 24th June 2022 · 4 mins read
