world economy

 
 

Asian shares supported by global growth hopes, eyes on earnings

SYDNEY, April 15 — Asian shares started on a firm footing today and the US dollar eased as risk appetite was whetted by better-than-expected data from China that helped boost confidence about the health of the world economy. MSCI's broadest index…


British businesses stash cash as Brexit gloom deepens, says Deloitte

LONDON, April 15 — A growing number of large British-based businesses are prioritising cashflow, fearing a downturn, as their view of the long-term economic impact of Brexit has darkened to its most negative so far, accountancy firm Deloitte said…


Trade rows cloud global economy as officials fret over slowdown

WASHINGTON, April 14 — Trade disputes and tighter financial conditions are among the top threats to a slowing world economy, global finance officials said yesterday, urging countries to take steps to shore up growth. The global expansion, now seen…


BoE's Carney says UK needs time to find Brexit consensus

WASHINGTON, April 12 — British politicians could now take some time to find a way forward on Brexit, Bank of England Governor Mark Carney said yesterday, after Prime Minister Theresa May agreed a delay of up to six months before leaving the…


Auto tariff war would hurt more than US-China fight, says IMF chief economist

WASHINGTON, April 11 — A new trade war sparked by US automotive tariffs has the potential to do much more damage to global economic growth than the US-China trade conflict has done, International Monetary Fund chief economist Gita Gopinath said…


IMF cuts US growth forecast, warns of growing risks

WASHINGTON, April 9 — The International Monetary Fund today cut its US growth forecast significantly for 2019 but said it is still likely to outpace other advanced nations as the world economy slows. The global crisis lender also warned of hazards…


China’s Xi calls for early conclusion of US trade talks

BEIJING, April 5 — Chinese President Xi Jinping has called for the “early conclusion of negotiations” on the text of a trade deal with the United States, state media reported today. The comments, carried by the Xinhua news agency, came as…


German institutes cut 2019 growth forecast to 0.8pc, say sources

BERLIN, April 4 — Germany's leading economic institutes have revised down their 2019 growth forecast for Europe's biggest economy to 0.8 per cent from a previous estimate of 1.9 per cent, two sources familiar with their report to be presented…


‘Precarious’ global rebound expected in late 2019, says IMF’s Lagarde

WASHINGTON, April 2 — Global growth in 2019 should be even slower than previously expected but a “precarious” rebound later this year is likely, the head of the International Monetary Fund said today. In a speech ahead of next week’s spring…


Asian markets extend rally as China data lifts optimism

HONG KONG: Asian markets rallied Monday, building on last week’s healthy gains with investors buoyed by optimism over China-US trade talks and forecast-busting Chinese factory data.

Top negotiators from China and the US flagged progress in last week’s discussions in Beijing on the tariffs row, with another round slated for this week in Washington.

While there have been few details, the general view on trading floors is that the economic superpowers are heading towards a deal that will end a long-running spat that helped sink global markets towards the end of last year.

Confidence an agreement will be reached helped overcome concerns about the world economy that saw a sharp sell-off in equities at the start of last week.

A positive lead from Wall Street was picked up in Asia, with Tokyo ending the morning 2.2 percent higher, Hong Kong adding 1.6 percent and Shanghai climbing 2.3 percent.

Sydney and Singapore each jumped 0.8 percent, while Seoul piled on 1.2 percent, with Taipei and Wellington also in the green.

The rises were supported by a sharp jump in an index of Chinese manufacturing activity, which soothed concerns about the world’s number two economy and a key driver of the global economy.

– EU patience ‘running out’ –

The Purchasing Managers Index for March showed growth in the sector for the first time in four months and was far better than expected.

“The manufacturing print… will go a long way to allaying slowdown fears about China, at least in the short-term as the US-China trade talks move back to Washington this Wednesday,” said OANDA senior market analyst Jeffrey Halley.

Attention once again returns to Britain, where Prime Minister Theresa May failed on Friday to pass her Brexit deal through parliament, stoking uncertainty with just over a week before the deadline for leaving the European Union.

With MPs still unable to agree on a way forward there are fears the country will crash out of the bloc without a deal, putting pressure on the pound.

Lawmakers will hold a series of votes Monday to try to find a majority-backed plan to end the current crisis, though European Commission President Jean-Claude Juncker has said the EU is “running out” of patience as the saga plods on.

“Brexit is a mess, and sterling traders are getting bored with the continued political point scoring that has plagued the whole process,” said James Hughes, chief market analyst at AxiTrader.

“The closer we get to the proposed deadline of April 12 the more volatility we will surely see.”