Archive for July, 2012
File not found. Chinese government: stabilising growth a higher priority, but nothing new proposed
Hu & Wen have placed higher priority on stabilising growth, but nothing new in terms of stimulus has been proposed.
Euro area inflation remains at 2.4% in July 2012
Euro area inflation remains at 2.4% for July, a flash estimate shows.
Euro area unemployment reached 11.2% in June 2012
Unemployment rate for June reached 11.2%, unchanged from the revised figure of May, a record high.
ECB (excluding Draghi) seems to have no idea what Draghi is talking about
Mario Draghi seemed to have made his comments without any discussion or aggreement with his ECB’s colleagues in advance.
The scale of recent credit expansion in China is larger than most previous credit booms
The recent credit boom in China is the biggest one among many notable credit booms in recent decades
Commodities, Markets. 31 July, 2012, 10:18
Agricultural commodity prices reach new highs on on-going drought
Agricultural commodity prices are reaching new highs as the weather situation apparently is not improving.
ECB could be setting the market up for disappointment
The ECB may probably disappoint the market in the coming Governing Council Meeting.
Chart: Shanghai Composite is making a new low
Shanghai Composite just made a new low today.
China, Financials. 30 July, 2012, 18:17
Chinese banks may end up lending RMB700 billion in July
Chinese banks may end up lending RMB700 billion in July.
Chart: Steel and iron ore prices in China
This chart shows that rebar prices in China has fallen back to level last seen during the financial crisis, iron ore is holding up, for now at least.
Local governments in China to stimulate economy despite a reluctant central government
Some local governments are already planning massive investment plan to stimulus their economies despite a reluctant central government.
Watch out: Defensive stocks are becoming overvalued
Defensive stocks in the US market are becoming a very croweded trade.
China’s large and medium steelmakers profits fell 95.81% yoy for Jan-June
Steelmakers in China continue to face increasingly difficult challenges, profitability feel further.
ECB may allow NCBs to purchase private assets, says Goldman Sachs
Goldman Sachs expects ECB to allow National Central Banks to purchase private assets.
Companies. 29 July, 2012, 18:57
For many companies, it feels like a hard landing already
Profit warnings are hitting record high in July, suggesting that many companies are facing situation tougher than 2008/09 financial crisis.
Economy, United States. 27 July, 2012, 21:02
US Q2 GDP growth: contribution by components
The chart below shows the contribution from each component to the GDP growth. As you can see, the government continues to make negative contribution to US GDP growth.
Economy, United States. 27 July, 2012, 20:36
US second quarter GDP increased by 1.5% annualised
The advance estimate of US second quarter GDP shows that the economic growth slow, but slightly better than consensus estimate. The annualised growth for the second quarter has slowed to 1.5%. The consensus is looking for a 1.4% annualised growth. The first quarter GDP was revised slightly upward to 2.0% from 1.9%, while the four [...]
The broken monetary policy transmission mechanism in euro area
Lending rates in Spain and Italy have failed to react to ECB’s rate cuts, while ECB’s influence on rates in core countries rose.
Swiss base money explodes as the SNB defends the peg
Swiss monetary base continues to surge as the Swiss National Bank defend the EURCHF peg amid capital inflows.
Changsha announced surreal investment plan to stimulate economy
Changsha’s stimulus programme is massive, yet there is a key question that no one is talking about.