By one definition – two consecutive quarters of GDP contraction – Japan’s economy unexpectedly entered recession in the third quarter of this year. After some initial turbulence, markets have generally responded with broad indifference. Nonetheless, the news has stimulated a fair bit of hand-wringing among some commentators on whether this… Read the article
Month: November 2014
Mark Carney knows well enough how keenly market participants watch policy developments these days. He knows how powerfully the tone and language of his every statement can influence short-term sentiment. He made reference to this himself at his August Inflation Report press conference, when talking about the market’s obsession with… Read the article
Ok, so the title is deliberately provocative, but it is meant to highlight an important issue. As debates over the likely path of growth rates in China rumble on it is worth taking a bit of a step back and reminding ourselves as investors that the importance of GDP to… Read the article
Last week, as investors focused on the Bank of Japan’s surprise ratcheting up of quantitative easing, the US Federal Reserve’s own long-term asset purchase programme came to an end with barely a flicker of attention in terms of market movements.
The relatively quiet completion of ‘tapering’ was a far cry… Read the article