China has recorded its first-ever quarterly deficit in foreign direct investment (FDI), indicating the challenges it faces in attracting overseas companies due to "de-risking" efforts by Western governments.
German Finance Minister Christian Lindner criticized the concept of a four-day workweek, stating that no society has achieved prosperity by working less, despite 50 German companies planning to trial the shorter workweek starting in February.
Support for Japanese Prime Minister Kishida's government has fallen below a critical level as respondents express disapproval of his economic stimulus package, increasing the likelihood of leadership change within his party.
Asian stock markets rally for a fourth straight session as markets price in earlier rate cuts, while bond markets experience a recovery and the dollar hovers near six-week lows.
The recent drop in interest rates due to the "Powell Pivot" may seem like good news, but it has led to a frenzy in the bond market and increased volatility in stocks, potentially indicating a looming recession.
Japan's services sector expanded at its slowest pace this year in October, raising concerns about the country's economic growth as weak demand and declining new orders contribute to the sector's softening.
Chinese Premier Li Qiang vows to deepen reforms, expand free trade zones, and attract foreign investment to stimulate the economy at the China International Import Expo.
Germany's residential construction sector is suffering from a wave of cancellations and a lack of orders, with a record number of firms reporting abandoned projects due to higher interest rates and elevated construction prices.
World shares are experiencing gains for the sixth consecutive session, driven by a bond rally and expectations of rate cuts in the US and Europe, although central bank speakers this week will test these expectations.
World shares are on track for a sixth consecutive session of gains, driven by expectations of rate cuts in the US and Europe, as well as a rebound in bond markets.
Bank of Japan board members agreed to continue monetary easing and saw no need for additional tweaks to yield curve control in order to meet inflation and wage growth objectives, according to minutes from its September meeting.
Pakistan's state-owned enterprises (SOEs) are in financial ruin, burdening the country and leading to hundreds of cancelled flights by Pakistan International Airlines, with the net impact of SOEs rising from 9.2% to 46.2% in FY22 due to payments to independent power producers and government support through subsidies, loans, and guarantees.
The economic challenges in Pakistan, including tax collection issues and state-owned enterprises draining resources, can be resolved with public knowledge and strong political will for reforms.
The threats to the world economy, why America’s doctors have high earnings, and a new AI-assisted Beatles track are discussed in this selection of articles from The Economist.
The price of money, reflected in the natural rate of interest, is rising after three decades of decline, with various factors such as weaker growth, shifting demographics, and increasing debt contributing to this reversal and potentially leading to significant consequences for the US economy and financial system.
China's premier, Li Qiang, pledged to expand access to markets and boost imports, despite the country's economic slowdown, in an effort to attract more foreign investors and aid the economic recovery.
Holiday sales are projected to reach a new high of $967 billion this year, with shoppers starting their shopping earlier and relying on promotions to offset inflation.
China's financial technology industry, which has been driven by demand from small businesses, may face increased scrutiny and regulation from Beijing to address systemic risks, leading to a potential pause in its expansion and a shift towards strengthening major banks. This decision comes after concerns about bad debts and collapses in medium and small banks, but some argue that the financial system should be comprehensive rather than concentrated on a few participants.
Canadian retailers, including Toys R Us and Hudson's Bay, are preparing for a challenging holiday season as consumers prioritize discounts and value due to inflation and financial stress, with consulting firm Deloitte Canada predicting an 11% decrease in holiday spending compared to last year. Retailers are negotiating with suppliers for lower prices and offering deep discounts to clear excess inventory, while also focusing on prominently displaying lower-priced products to appeal to budget-conscious shoppers.
Growing confidence in the US economic 'soft landing' and easing financial conditions are buoying Asian markets as they await key economic data releases from China and other countries this week.
Asian markets are expected to start the week with positive investor sentiment and risk assets, thanks to growing confidence in the US economic 'soft landing', easing financial conditions, and upcoming releases of economic data from China and other countries in the region.
The Federal Reserve's Survey of Consumer Finances found that the median net worth of American households increased by 37% to $192,900 between 2019 and 2022, while the average net worth rose by 23% to $1,063,700, with the wealthiest households influencing the average.
Russia is deepening its economic cooperation with "friendly" states, such as China, India, Saudi Arabia, and Brazil, in response to Western economic sanctions, with trade turnover increasing by 22% between January and August, and strategies including allowing companies from friendly countries to enter mining projects and launching Islamic banking. However, there are challenges, including Russian investors being lured away by banks from friendly countries and the risk of private investment emigration.
Stocks rallied last week, with the S&P 500 surging 5.9%, indicating a positive outlook for the economy, but it's important to be cautious of short-term fluctuations and biased narratives.
The Bank of Japan's loosening control over Japan's bond market raises concerns of a potential increase in interest rates during the transition.
Saudi Arabia's Tadawul All Share Index rose by 0.79 percent, with trading turnover reaching SR4.86 billion ($1.29 billion) and 165 stocks advancing, while the worst performer was Al-Etihad Cooperative Insurance Co. with an 8.03 percent drop in share price. Additionally, several companies announced their financial results, including Tanmiah Food Co., Arabian Drilling, Dar Alarkan Real Estate Development Co., and Saudi Chemical Co.
China's commerce minister, Wang Wentao, has expressed support for Hong Kong's green trade and professional services, urging the city to leverage its unique strengths to help mainland companies expand globally, during a forum at the China International Import Expo. Wang emphasized the importance of Hong Kong's role as a global gateway and highlighted the Ministry of Commerce's support for the city's participation in external investment cooperation. He also underscored Beijing's backing for Hong Kong's accession to the Regional Comprehensive Economic Partnership and expressed the intention to explore measures to facilitate free trade within the Greater Bay Area.
Vinod Khosla and Elon Musk envision a future where AI and robots automate a significant portion of human work, leading to exponential growth, challenging traditional economic theories that link growth to inflation.
Saudi Arabia's Tadawul All Share Index increased by 0.79 percent, with the best-performing stock of the day being National Medical Care Co., while various companies announced their financial results for the first nine months of the year.
Several African countries, including Kenya, are considering ditching the U.S. dollar for trade and adopting local currencies or a new currency proposed by BRICS, which could have significant implications for the global reserve status of the U.S. dollar.
Silicon Valley Bank's collapse is not an isolated incident, and other banks may also fail due to rising long rates, leading to a negative ripple effect on the economy, says Duke University professor Campbell Harvey.
The Bank of England's forecasts suggest that Britain is facing the weakest sustained period of economic growth since the postwar era, with flatlining progress and heightened inequality, which poses a challenge as the country tries to recover from the Covid pandemic, address global heating, and distribute growth more equitably.
Nearly two-thirds of potential homebuyers would welcome a recession if it meant lower mortgage rates, according to a Credit Karma study, highlighting the dire state of the housing market for many Americans. However, while lower interest rates may make mortgages more affordable, a recession could also lead to job losses and pay cuts, making homeownership even more difficult for some.
With interest rates at their highest level in 22 years, economists are debating whether the first shoe to drop will be in the labor market or consumer spending, which are intricately linked.
Rising food prices in Greece are causing financial strain for families, despite claims of economic progress, with inflation surpassing the Eurozone average and consumers cutting back on purchases.
The popularity of the paddle sport pickleball is causing property value concerns and an increase in health care costs due to injuries.
Despite the improving economy, President Biden is facing challenges in winning over rural voters, who have been hit harder by inflation and are increasingly voting for Republicans. Biden is trying to appeal to rural voters with new federal funding for agricultural communities and clean energy initiatives, but his approval rating and satisfaction with their financial situation among rural voters remains low.
Mortgage rates have recently decreased and may continue to do so in the coming weeks due to signs of a cooling economy, although long-term consistent signs are needed for significant drops; factors such as inflation and the Federal Reserve's policies will impact future mortgage rate changes.
Canadians are showing a decline in entrepreneurship due to uncertain times, with more individuals opting for side hustles, but experts believe that the entrepreneurial ecosystem will thrive again as people gain skills and wait for better economic opportunities.
The Bank of England's decision to keep interest rates unchanged may lead to more affordable mortgage deals for homeowners and buyers, but savers may no longer see high savings rates from banks. The rates for fixed-rate savings bonds and new fixed-rate mortgage deals have been gradually decreasing, but there are still some decent rates available for savers. Savers may also find value in notice accounts that limit withdrawals. The decision may also provide more stability for pensions, but lower interest rates could result in limited returns from annuities.
Corporations are increasingly willing to raise their prices, contributing to rising inflation and shifting the burden onto consumers. Central banks, including the Bank of Canada, have taken notice of this trend, which is known as profit-led inflation. Consumers are beginning to push back against price increases, particularly in the grocery sector. While some economists argue that consumers should be more savvy shoppers, others emphasize that the responsibility should not solely fall on consumers, as they are already bearing the disproportionate burden of inflation.
Fitch Ratings maintains Nigeria's 'B-' rating with a stable outlook, citing ongoing reforms under President Bola Tinubu's administration, although challenges including inflation and foreign exchange shortages remain.
Chinese Premier Li Qiang promotes Chinese consumers as a solution to the global economy's stagnation, offering opportunities for international companies, at the China International Import Expo (CIIE) in Shanghai.
Indian edtech startup Byju's saw its losses narrow only slightly despite a surge in business amid the pandemic, highlighting challenges faced by the company amidst a dispute over a $1.2 billion loan; the financial results also revealed that the company's growth has slowed and it is struggling to recover from the post-Covid slump.
The caretaker government in Pakistan must consider whether they can afford the $6.7 billion expenditure on the revival of the Karachi to Peshawar railway line, as the country is already burdened with external debt and liabilities.
Extreme El Nino in Indonesia has caused a drought that has disrupted rice production, leading to higher prices and a decline in profits for food stall owners who serve cheap meals, as well as contributing to rising inflation rates. The government plans to distribute rice assistance and direct cash assistance to maintain purchasing power and price stability. Indonesia is also importing rice to maintain stock and stabilize prices.
The dollar has strengthened against the Pakistani rupee due to a shortage of dollars and decreased inflows, as well as uncertainties related to the political and economic environment, hindering economic growth and stability.
Increasing Nigeria's crude oil production is seen as a solution to the country's economic challenges, according to the Group Managing Director of Eterna Plc, Dr. Gabriel Ogbechie, who emphasized the need for Nigeria to ramp up production and rely less on fossil fuels.
The Bank of England has decided to hold the base rate at 5.25 percent for an extended period, signaling a new phase of stable interest rates.
The British government's legislative agenda, set to be outlined in the King's Speech, will focus on growing the economy, ensuring energy independence, and capitalizing on new technologies while also addressing societal issues and helping people feel safe in their communities.