Amid all the drama in the US presidential race, it is easy to forget that elections for the Senate and House of Representatives (frequently referred to as the House) are also taking place concurrently. Nevertheless, these lesser-discussed elections will prove important in understanding any US post-election scenarios. A clean-sweep for either the Democrats or Republicans would … [Read more...] about A not so straightforward US election
The risk of asset bubbles means that zero rates could come back to haunt the Federal Reserve. At its latest policy meeting the US Federal Reserve (Fed) signalled that interest rates would be close to zero for the next three years as it aimed to hit its new objective of a 2% average inflation target and maximum employment. The central bank’s economic projections show that … [Read more...] about Fed repression could turn to Fed regret
On October 13, Ireland unveiled its latest Budget, which was historic in more ways than one. Up until very recently, it would have been hard to imagine two ministers from the two biggest political rivals in the history of the State, standing up together to deliver a unified Budget. On top of that, the package delivered of almost €18bn was the biggest in the country’s history, … [Read more...] about A review of Budget 2021
The latest inflation data in the eurozone will not be greeted with joy in Frankfurt, as the annual core eurozone inflation number dropped to 0.2%. This is the lowest level ever recorded for the core eurozone price index and far below the implicit target of the ECB of “below but close to 2%” in the medium term. Considering the rising number of coronavirus infections in Europe … [Read more...] about Low, lower, lowest
Lionel Shriver’s 2016 dystopian novel ‘The Mandibles’ describes the US defaulting on its debts, resulting in the collapse of the once-mighty US dollar and the ushering in of a period of deep secular decline. Comparisons with today are tempting given the pandemic crisis and social and political unrest in America. The US dollar’s recent falls particularly resonate. The near -10% … [Read more...] about Dollar demise or just a blip?