Despite historically low unemployment rates in Alabama, many residents in the state's poorest region, known as the Black Belt, are not included in the count due to their lack of job search efforts, with single parents facing difficulties in finding employment while managing childcare. The Black Belt counties, characterized by persistent poverty, have a higher concentration of individuals who face challenges in finding jobs, according to new research from the University of Alabama.
The pound weakened against the euro and the dollar due to concerns about the British economy, with weak retail sales data and global market sentiment contributing to the decline.
China and Russia have signed a record-breaking grain contract, strengthening their partnership in food and energy as tensions with the West persist, while also considering mutual support for low-carbon energy certification systems.
Ghana's Finance Minister, Ken Ofori-Atta, has announced that the 2024 Budget will address the high cost of doing business and concerns of excessive taxation for the private sector, with a focus on supporting the private sector and achieving economic growth beyond 2.5%.
The US government is projected to spend more on interest payments than on defense in the next five years due to the country's growing debt, potentially impacting the demand for Treasury bonds and leading to lower stock market returns, according to Capital Group.
Long-term Treasury yields are rising, potentially bringing an end to the historic interest rate hikes used to control inflation and causing economic pain for American consumers in the form of higher loan and mortgage rates. However, the rise in yields may also help lower inflation, and the Federal Reserve remains attentive to these developments as it considers future rate hikes. In terms of investment advice, investors are advised to stay steady and respect the lag of tightening monetary policy. Meanwhile, the frozen housing market in the US is seeing a decline in home sales due to surging interest rates and rising home prices, making homeownership unattainable for many, and potentially signaling a new era for the housing market. Finally, Snapchat is achieving success with its paid subscription service, with 5 million subscribers generating significant revenue, highlighting the willingness of users to pay for a premium experience on the platform.
China is imposing restrictions on the export of graphite, a crucial mineral for electric vehicle batteries, citing national security concerns, as global demand for EVs continues to rise.
Rise in long-term Treasury yields may put an end to historic interest rate hikes that were meant to lower inflation, as 10-year Treasury yields approach 5% and 30-year fixed rate mortgages inch towards 8%. This could result in economic pain for American consumers who will face higher car loans, credit card rates, and student debt. However, it could also help bring down prices and lower inflation towards the Federal Reserve's target goal.
The current crisis in the Middle East has the potential to disrupt global oil supplies and push prices higher, but experts don't expect a repeat of the catastrophic price hikes and long lines at the gasoline pump seen during the 1973 Arab oil embargo.
Despite a prolonged decline in overseas orders, Taiwan's actual exports experienced growth in September due to increased demand for semiconductor chips related to AI, signaling a slow turnaround in the offshore markets for hi-tech hardware.
China's economy grew at 4.9% but the real estate crisis and high government debt levels continue to dampen growth, raising concerns about the country's economic recovery.
Britain's energy crisis threatens to push millions of households into poverty as energy prices remain high and government support has been scaled back, leading to concerns about fuel poverty and excess winter deaths.
Retail sales in the UK fell more than expected in September due to unseasonably warm weather and cost-of-living pressures, with clothing stores seeing a notable decline in sales of colder weather gear, while food sales increased slightly.
China has strengthened export controls on certain types of graphite, a key material in electric vehicle batteries, in order to safeguard national security, potentially impacting the EV and battery industries.
The pandemic and the rise of remote work have questioned the importance of in-person interactions for innovation and economic progress in cities, leading to a debate about the future of agglomeration and whether serendipity can be planned. While remote work may be efficient for daily tasks, it may hinder the spontaneous collisions that generate new ideas and drive innovation. The benefits of in-person collaboration and agglomeration are still valuable, particularly in industries like artificial intelligence, where cutting-edge ideas flourish through face-to-face interactions among specialized individuals. The challenge lies in finding a balance between flexibility and the value of physical proximity for serendipitous creation.
The People's Bank of China has announced that the country's benchmark loan prime rates (LPRs) will remain unchanged, indicating the stability of the LPRs aligning with market expectations amidst a solidifying economic recovery.
Government borrowing in the UK was lower than expected in September but still remains high, with figures showing it was £14.3 billion, the sixth highest in September since 1993, contributing to the government's debt of nearly £2.6 trillion, which is over 2% higher than last year.
Argentina's leading candidate, Javier Milei, is advocating for dollarization and the abolition of the central bank in an effort to address the country's economic crisis, which includes high inflation, a weak currency, and mounting debt. The outcome of the election remains uncertain, and the next government will face significant challenges in managing inflation and FX reserves.
The increase in New Jersey's minimum wage to $15.13 per hour has raised concerns about potential price increases and inflation for businesses, particularly in low-income neighborhoods, but experts argue that small steps up in the minimum wage are unlikely to cause significant price increases.
Economists have raised their US growth projections and reduced recession odds to a one-year low due to strong consumer spending supported by a still-robust labor market, despite high borrowing costs and inflation.
Italy's budget, proposed by Giorgia Meloni, has led to a spike in risk spreads on Italian 10-year bonds and borrowing costs, raising concerns about the country's vulnerability and potential debt crisis, while also exposing fault lines in European sovereign credit. Italy's weak economic growth and high debt ratio make it the eurozone's weakest link, and a series of downgrades could have significant consequences for the country and the eurozone as a whole. The European Central Bank's collateral rules and lack of a debt union exacerbate the situation, threatening a sovereign/bank doom loop if yields continue to rise. However, ultimately, the EU is expected to take measures to save Italy and prevent a potential collapse.
UK Finance, the banking industry body, has issued a policy paper recommending better tracking of funds going into green investments and targeted tax changes to encourage sustainable projects in order to meet the country's net-zero targets. They also emphasized the need for clarity on the path to a net-zero economy and greater policy support to attract private sector funding.
African countries, including South Africa, Nigeria, and Egypt, are seeing a significant increase in interest in investment migration, driven by the desire for stronger passports and access to more global opportunities. Wealthy African investors are seeking to protect their wealth, enhance prosperity, and leave a valuable legacy for future generations. However, the relatively weak African passport limits ease of travel and access to global economies, highlighting the need for improved economic mobility for African citizens.
Escalating tension in the Middle East, surging U.S. bond yields, high oil prices, and China's property troubles are expected to cause turbulence in financial markets, while the European Central Bank plans to maintain interest rates and the U.S. anticipates a slew of corporate earnings reports. Investors are also keeping an eye on the conflict between Israel and Hamas, as well as Argentina's upcoming presidential election.
A think tank in Japan estimates that $7 trillion will be needed to ensure sufficient gas supply through 2050 as nations transition to cleaner energy sources.
A climate researcher was fired after refusing to fly home from Papua New Guinea and opting for a longer, less carbon-emitting journey instead.
British retail sales fell by 0.9% in September, raising concerns that the retail industry has entered a recession before the crucial festive shopping season, as consumers cut back on spending due to mild weather conditions and rising inflation.
China Evergrande Group is revising the terms of its proposed offshore debt restructuring deal to meet its situation and creditors' demand, as the embattled property developer faces a debt crisis and ongoing investigation.
Retail sales across Great Britain have fallen by more than expected, with volumes dropping by 0.9% in September, suggesting a drop in consumer confidence and a possible recession in the retail sector. Factors such as cost-of-living pressures and warm weather affecting sales of autumn clothing contributed to the decline.
China's troubled property market is unlikely to recover in the short term, as economic uncertainty and low buyer confidence continue to hamper demand, despite government stimulus measures; home prices fell for the third consecutive month in September, and property sales and investment have also seen double-digit declines.
Imara Asset Management predicts that the US dollar will remain the dominant currency in Zimbabwe, surpassing the government's deadline to phase it out by December 2025.
China's central bank, the People's Bank of China (PBOC), injected a record amount of cash into financial markets in an attempt to lower funding costs and support economic growth, as Beijing aims to stimulate demand and offset the downturn in the property sector; however, the need for further interest rate cuts has reduced as GDP growth exceeded expectations in Q3.
Nestlé will close its Irish factory due to a significant drop in the number of births in China, impacting the demand for formula exclusively exported to Asia, while the company points out that the demand for locally-produced powdered milk is increasing.
Japan's core inflation in September slowed below 3% for the first time in over a year but remained above the central bank target, maintaining expectations that policymakers will phase out ultra-easy monetary policy.
The average price of a new car in the US is $47,899, with interest rates for car loans reaching as high as 10.52% for used cars, leading to increased monthly payments and financial strain for many buyers. One way to combat high costs is to increase the down payment or pay in cash, while also improving credit scores and shopping around for better financing options.
Country Garden Holdings Co. is likely to be declared in default due to a missed bond interest payment, leading creditors to focus on a potential debt restructuring for the troubled Chinese developer.
China has kept its benchmark lending rates unchanged, as economic data suggests stabilization and a weaker yuan limits further monetary easing.
China's real estate market is declining, debt deflation is a concern, its workforce is shrinking, and GDP growth is slowing, leading to warnings of "Japanisation" and prolonged economic malaise, worsened by President Xi Jinping's autocratic rule and economic imbalances far worse than Japan's in 1990.
China may continue to cut its US debt holdings amid worries over shrinking liquidity and safety risks, as well as efforts to diversify foreign exchange reserves. China has reduced its US debt holdings for five consecutive months, while Japan and the UK have increased theirs. Experts believe China's actions are driven by the poor performance of US Treasury bonds, the need for more sophisticated foreign exchange reserve management, and concerns over geopolitical risks. The abuse of the dollar's hegemony status by the US has also damaged global trust in the greenback and contributed to a trend of de-dollarization.
Japan's overall consumer prices rose 3% in September, slightly lower than the previous month but still above the Bank of Japan's target, while consumer inflation excluding food and energy increased by 4.2%.
The US dollar's reserve status is threatened by government spending and high levels of national debt, according to bond market expert Jeffery Gundlach, potentially reinforcing the BRICS alliance's push for de-dollarization and embracing local currencies.
The Federal Reserve may resume raising interest rates if growth does not slow, Nokia plans to cut up to 14,000 jobs globally, the newest California Senator will not run for a full term, China is rapidly expanding its nuclear weapons arsenal and may be developing missile systems that could target the U.S., a major natural gas pipeline expansion in the Pacific Northwest has been approved despite objections, stock markets were undermined by rising interest rates, and the Las Vegas Aces have become the first back-to-back champions in the WNBA in 21 years.
Wall Street remains stable despite mixed profit reports, while the bond market is affected by rising borrowing costs and data concerns; SEC asks judge to dismiss charges against Ripple co-founders; U.S. Treasury yields surge to nearly 5%; Asian market sentiment weighs as U.S. bond market continues to reprice; Intuitive Surgical, WD-40, and CSX Corp. experience after-hours trading fluctuations; Trudeau urges action in Haiti, while Caribbean leaders seek more Canadian private investment; Biden prepares $105 billion foreign aid package for Ukraine and Israel; Indian-born Canadians face uncertainty over visa services; Conservative Leader Pierre Poilievre steps into pension dispute between Alberta and Ottawa; House Republicans reject Jim Jordan for speaker's gavel; Federal prosecutors argue that Trump is not above the law in election case.
Asian market sentiment is expected to be heavily influenced by the dramatic repricing of the U.S. bond market, resulting in potentially significant weekly losses for regional stocks, as the U.S. 10-year yield rises to its highest level since 2007.
Moody's Investors Service has warned that it could downgrade Israel's credit rating due to the severity of the military conflict with Hamas, which could lead to increased costs for borrowing as the country faces a prolonged war.
Toronto's high-profile condominium project, "The One," has fallen into receivership due to construction delays, cost overruns, and a deterioration in the relationship between the owners; however, the project will continue with funding from an IGIS Asset Management Co. fund.
Verified, premium accounts on Elon Musk's platform, formerly known as Twitter, are reportedly spreading misinformation about the Israel-Hamas conflict, taking advantage of the platform's verification policy changes that promote posts from paying users, according to a report by NewsGuard, which identified seven accounts as the major spreaders of false claims causing millions of engagements and views.
China is positioning itself to dominate deep-sea mining, as it holds the most exploration licenses and is working to shape international rules and regulations in its favor, giving it control over critical minerals for emerging industries like clean energy and advanced weapons systems, as well as giving it military advantages in the ocean.
Israel's Finance Minister, Bezalel Smotrich, has announced an emergency aid package for businesses affected by the ongoing war, which includes compensation and grants totaling about $1.1 billion, as well as a state-guaranteed loan fund of $2.5 billion; however, the state deficit is expected to widen as a result.
L'Oreal reports strong rise in Q3 sales driven by Europe and the United States but misses expectations for a rebound in China due to tighter control by the Chinese government on resellers known as daigou.