Global Economics Update What the latest US tariffs mean for the global economy We held an online Drop-In session today to discuss the Biden administration’s new tariffs on goods from China. This Update answers several of the questions that we received about the direct effects of... 15th May 2024 · 6 mins read
Australia & New Zealand Economics Update Chalmers’ fight against inflation goes nowhere Treasurer Jim Chalmers has sought to present the 2024/25 Budget as one that strikes a balance between providing support to an ailing economy and keeping pressure off inflation. In our view, that’s... 15th May 2024 · 3 mins read
Australia & New Zealand Rapid Response Australia Wage Price Index (Q1 2024) 15th May 2024 · 2 mins read
China Economics Update US tariffs tighten the ratchet again The tariffs announced today on US imports from China won’t cause much direct economic damage since trade in the affected goods is already low. But US economic sanctions on China seem to act like a... 14th May 2024 · 5 mins read
Asia Economics Update Singapore: demographics key challenge for new PM Increased immigration would be the easiest way for Singapore to offset a decline in the working age population. However, such a move would be politically controversial, and deciding how many foreign... 14th May 2024 · 3 mins read
Australia & New Zealand Economics Update RBNZ to cut rates more aggressively than most expect We expect the RBNZ to leave policy settings unchanged at its meeting next week. Although the domestic economic backdrop is clearly weak, lingering risks around inflation persistence means policy... 14th May 2024 · 6 mins read
Capital Daily JGB yields may keep going it alone, helping the yen While we expect government bond yields in most developed markets to fall back, we think that those in Japan will stabilise around their current levels. In turn, we anticipate that interest rate... 13th May 2024 · 4 mins read
India Rapid Response India Consumer Prices (Apr. 2024) Headline consumer price inflation edged down in April to an 11-month low and, looking ahead, we think it will reach the RBI’s 4% long-term target by the middle of the year. We remain comfortable with... 13th May 2024 · 2 mins read
China Rapid Response China Consumer & Producer Prices (Apr. 2024) PPI deflation eased and CPI inflation rose in March, but they remained relatively subdued compared with pre-pandemic norms. We think inflation will continue to edge up in the near term. But persistent... 13th May 2024 · 2 mins read
China Rapid Response Bank Lending & Broad Credit (Apr.) Broad credit growth slowed sharply to its weakest pace on record last month. This threatens to derail the ongoing economic recovery and is likely to trigger additional policy easing. Increased fiscal... 13th May 2024 · 3 mins read
Australia & New Zealand Economics Update Downturn in homebuilding has much further to run The blowout in the pipeline of unfinished houses during the pandemic will reverse by the end of this year. With building approvals very low, dwellings investment will therefore fall further. While... 13th May 2024 · 3 mins read
China Economics Weekly Targeted regulations won’t fix structural overcapacity With the EU and US both apparently moving closer to imposing new trade restrictions on EVs and possibly on other "new energy" products from China, China's state media this week made a concerted effort... 10th May 2024 · 7 mins read
Global Markets Update Does a weak yen spell trouble for Japanese equities? Although Japan’s equities and currency have generally moved in tandem in recent weeks, we think the historical inverse relationship between the two will reassert itself before long. We expect a... 10th May 2024 · 5 mins read
Asia Economics Weekly BSP to sound dovish, inflation eases in Taiwan The central bank in the Philippines is likely to leave interest rates unchanged at its scheduled meeting on Thursday. However, the sharp slowdown in economic growth in the first quarter means the BSP... 10th May 2024 · 6 mins read
India Economics Weekly Why we still think rate cuts will commence in Q3 The consensus is now expecting the RBI to begin its easing cycle in Q4. But the inflation outlook, as well as recent measures to ease liquidity constraints, suggest to us that a policy pivot will... 10th May 2024 · 4 mins read
Japan Economics Weekly Car production to drive Q2 GDP rebound Shutdowns at major carmakers were a key reason behind the likely plunge in GDP last quarter, but with production now having been resumed, a strong rebound in activity is on the cards. Meanwhile, the... 10th May 2024 · 5 mins read
