Is China’s Debt Concern Overblown?
According to a Bloomberg survey, Qu Hongbin, an economist at HSBC Holdings (HSBC), largely agrees with George Soros’s statement. He wrote that China’s debt concern is overblown and that policy easing isn’t as bad as investors think.
The Bank of Japan (or BoJ) maintained the status quo in its recent monetary policy review meeting on April 28, 2016.
The US service PMI (purchasing managers’ index) stood at 52.1 for April as compared to the 51.3 for March.
At its monetary policy review meeting on April 27, 2016, the Federal Reserve left its federal funds rate unchanged at 0.25%–0.5%.
US crude oil inventories rose by 2.0 million barrels for the week ending April 22, 2016, as compared to the 2.1 million barrel rise in the previous week.
The weaker movement of the US GDP growth indicates that American consumers controlled their spending and demand also slowed down in the first quarter.
In this series, we’ll discuss why the US economy saw weaker growth in 1Q16 and what the US crude oil inventories indicate for the movement of crude oil.
In January and February 2016, the S&P 500 Index’s valuation fell to 15.1x and 15.14x, respectively. On April 25, the index’s valuation was 17.1x.
Jared Dillian of Mauldin Economics is shorting commodity-producing countries and taking a long position on emerging economies, gold, and commodities.
Investors are expecting the pound will weaken if Britain makes its exit from the European Union (VGK) (HEDJ) (FEZ). However, Jared Dillian of Mauldin Economics believes the pound could rise.
The iShares MSCI Brazil Capped ETF (EWZ) tracks the performance of Brazil, which has risen 61% from its low of $17.33 on January 21, as of April 25.
In the fourth quarter of 2015, Canada recorded a growth rate of 0.8%, as compared to 2.4% growth in the previous quarter.
In January 2016, commodity prices fell close to their multiyear lows, which was one of the major reasons behind the deflationary pressure on the world economy.
In a recent interview, Jim Rogers said, “I’m on record as saying that we’re going to have a recession certainly within a year or two.”
When growth is scarce and the markets are challenging, growth outperforms value investing on account of its above-average valuation premium.
According to a report published by Markit Economics, Japan’s manufacturing PMI (purchasing managers’ index) fell to 48.0 in April as compared to 49.1 in March.
Germany’s ZEW Economic Sentiment Index rose for the second consecutive month in April. It rose to 11.2 in April as compared to 4.3 in March.
The US manufacturing PMI (purchasing managers’ index) came in at 50.8 for the month of April. This was lower than the previous month’s reading of 51.5.
The US crude oil inventory rose by 2.1 million barrels for the week ending April 15, 2016.
According to data provided by the US Department of Labor, unemployment claims fell by 6,000 to 247,000 claims for the week ending April 16, 2016.