The Lastest Macroeconomic News
23.08.2017 20:12 How Russia may benefit from North Korean sanctions
UN trade sanctions against North Korea can benefit the economy of the Russian Far East as it will open opportunities for raw material exports from the region as well as seafood shipments to China. The UN Security Council on August 5 in response to the launch of intercontinental ballistic missiles by Pyongyang unanimously adopted a resolution toughening sanctions against North Korea. The sanctions prohibit increasing the number of overseas workers from the North, creating new joint ventures with the country and importing coal, iron, lead and seafood from North Korea. That may create a supply shortfall in the Asia-Pacific market that Russia is ready to fill. “Coal, iron, lead and seafood, Russia hardly buys any of these from North Korea, as it has plenty of its own raw materials and exports a good number of them,”Artyom Lukin, associate professor of International Relations at the Far Eastern Federal University, said in an interview.
21.08.2017 12:48 Russia`s growing abilities
Russia`s growing ability corresponds to its military, agriculture and economic booms. Russia has been a promoter of its defence sector and even working to improve various other important sectors. It has been observed in the past that after the creation of North Atlantic Treaty Organization (NATO) Russia always have wanted to create a military alliance against it and nurture it towards being offensive for NATO. During cold war era, Russia was the headlines of US newspapers. Later with the emergence of new governments in US, Russia came to seen, as an opposing power. President Barack Obama considered Russia to be a weaker nation in comparison to America. But the president elect Donald Trump has different views. He considers Russia as a counter facing country and yet powerful enough.
17.08.2017 18:51 The Path to U.S.-Russia Cooperation
Despite the array of twists and turns since the start of the Trump administration, there is a chance that U.S.-Russia relations could improve over time. My cautious optimism depends on three assumptions. The first assumption: President Trump continues to remain interested in engagement and cooperation with Russia. He aims to contain and defeat the threat of terrorism, make progress in resolving the conflicts in Syria and Ukraine, and address the challenges of proliferation. The agreement on a limited cease-fire in Syria, reached by Presidents Trump and Putin during the G-20 summit, may keep alive the former`s intentions to improve relations with Russia - an aim he has expressed consistently since the campaign trail - in the face of domestic political costs.
14.08.2017 12:48 Japanese economy posts longest expansion in more than a decade
The Japanese economy has recorded its longest economic expansion in more than a decade after official data showed that it grew at 1% in the last quarter. Recording its sixth straight quarter of growth, the economy blew past market expectations with a 0.6% rise in the April-June period, according to figures from the cabinet office on Monday. The better-than-expected figure – which equates to a storming annualised figure of 4% – came on the back of robust domestic demand and capital spending, which offset a decline in exports. Private consumption grew at 0.9%, representing a boost for government policies aimed at encouraging more spending. Consumption accounts for more than a half of Japan`s GDP but has been sluggish for years.
09.08.2017 10:18 Chinese Trade Weakness Is an Unpleasant Surprise for the World Economy
The unpleasant surprise contained in the Chinese trade data released earlier on Tuesday could reverberate across the world, and not just because President Donald Trump will send another angry tweet about the rising Chinese current account surplus. The reality is that the world`s second-largest economy has far more influence on global trade now than before the financial crisis. Investors should brace for a slowdown in the world economy in the second half of the year. China recorded a trade surplus of $46.74 billion in July, its highest since January. That figure was higher than the $46.08 billion forecast in a Reuters survey and was well above the June surplus of $42.77 billion. Exports increased more slowly than predicted, by 7.2% versus expectations of a 10.9% increase, and were down from June`s 11.3% increase. Imports, however, missed even more, increasing by 11%, their slowest pace of growth since last December. Expectations were for a 16.6% rise in imports; they rose 17.2% in June.
06.08.2017 13:01 Global economy teeters on the brink of trade war
Earlier this year, both China`s President Xi Jinping and Russian leader Vladimir Putin thought they`d be able to reach a tolerable - perhaps even cordial - working relationship with US President Donald Trump. Instead, the global economy is teetering on the brink of a bitter and damaging trade war, as Washington has moved to impose tough economic sanctions on Moscow, while flagging its intention to take a much more aggressive stance with Beijing. Tensions between Washington and Moscow have spiralled after Trump reluctantly signed a bill that imposes new sanctions on Russia to punish the Kremlin for its alleged meddling in the 2016 election. Although Trump criticised the legislation as "seriously flawed", he had little option but to sign the bill after it had received overwhelming bipartisan and veto-proof support in US Congress. Even before he signed it, the Kremlin had retaliated by ordering the US to reduce its embassy staff numbers in Russia by 755 people and by seizing two US diplomatic properties. The new sanctions are mainly economic, and target the Russian energy sector.
03.08.2017 16:48 Why Europe Doesn`t Like America`s New Russia Sanctions
The U.S. is facing international backlash over newly proposed sanctions on Russia, with a prominent German official casting the restrictions as illegal and Moscow ordering the dismissal of hundreds of diplomatic staffers from American posts. Brigitte Zypries, head of Germany`s Ministry for Economic Affairs and Energy, told local press in comments published Monday that sanctions expected to hurt European business interests in Russia are seen as "against international law, plain and simple." "Americans cannot punish German companies because they [do business] in another country," she said. Zypries went on to say she thinks the European Commission should look into taking countermeasures against the U.S. “Europe is ready to adopt short-term countermeasures - in other parts of the world, too,” she said.
01.08.2017 13:14 4 Financial Components to Improved Russian Relations
With the U.S. preparing to confront China and go to war with North Korea, Russia is an indispensable ally for the U.S. There are huge implications on capital markets as these hegemonic powers continue to edge toward war. Here`s an overview of some of the financial implications of improved relations with Russia… 1: The End of OPEC and the Rise of the Tripartite Alliance. 2: Improved U.S. Relations with Russia and Sanctions Relief. 3: Watch Russia`s “Gold-to-GDP” Ratio. 4: Russian Relations and Blockchain Technology Will Challenge U.S. Dollar Dominance.
27.07.2017 15:09 Russia`s economic growth may exceed 2 percent in 2017
Russia`s economy growth accelerated in the second quarter of 2017 and is likely to exceed 2 percent for the entire year, Russian Economic Development Ministry said Wednesday. "The Russian GDP, according to our estimates, grew in the second quarter by approximately 2.7 percent year-on-year. We estimate the economy growth in the first half of the year at 1.6 percent," Russian Economic Development Minister Maxim Oreshkin was cited by Sputnik news agency as saying. Based on the encouraging performance of the past quarter, Oreshkin said the ministry`s previous two-percent forecast for economic growth this year now "seems a little conservative." "We expect further strengthening of positive tendencies in the economy this fall," Oreshkin said, highlighting the gradual recovery of wages and income.
24.07.2017 23:19 IMF downgrades UK growth while European rivals surge
The International Monetary Fund has lowered its growth forecast for the UK to 1.7% for 2017. The organisation said a weaker-than-expected performance meant it was revising expectations from the 2% it predicted in April. The US also had its economic forecast downgraded to 2.1% from 2.3%. It comes in contrast to major European countries including Germany, France, Italy and Spain, where growth exceeded expectations. Germany has been revised up by 0.2 points to 1.8%, France by 0.1 points to 1.5%, while Italy and Spain have both been revised up by 0.5 points to 1.3% and 3.1% respectively. The IMF`s prediction that the global economy will grow by 3.5% in 2017 and 3.6% in 2018 remains unchanged, driven largely by China, Japan and the EU.