Europe is now grappling with a second wave of coronavirus infections that could once again wreak significant damage on the region’s economy. The euro zone, the area that shares the single currency, saw its economy tank by 11.8% in the second quarter of 2020, hit by strict lockdown measures used to contain the spread of the virus. […] Read more
The Bank of England on Thursday left interest rates unchanged and maintained its current level of asset purchases, but warned that the outlook for the economy remains “unusually uncertain.” All members of the Monetary Policy Committee (MPC) voted to keep the main lending rate at 0.1%, with the central bank having cut rates twice from […] Read more
The Philippines’ falling imports as a result of a weak domestic economy has ended up benefiting its currency — which is the best performer in Asia so far this year. The Philippine peso has strengthened around 4% against the U.S. dollar this year, outperforming its regional peers. It is also one of the few Asian currencies that has recorded gains […] Read more
It looks increasingly unlikely that the U.K. will reach a trade agreement with the European Union — and that could also harm the chances of a future deal with the United States. The U.K. government outlined on Wednesday how it plans to manage trade following its full breakup from the EU at the end of the […] Read more
The U.S. economy looks set to rebound in the current quarter from the previous three months’ deep contraction — but it could sink again if the coronavirus outbreak is not managed well, warned a former Federal Reserve official. Dennis Lockhart, president of the Atlanta Fed from 2007 to 2017, was among economists and experts who have raised the possibility of […] Read more
The Japanese yen and Swiss franc remain relatively safe bets, Morgan Stanley said Tuesday, but the investment bank picked the U.S. dollar as the best safe-haven currency in what’s left of turbulent 2020. The greenback fell to a 27-month low on Tuesday against a basket of its peers, where the dollar index reached 92.477 — a level not seen since […] Read more
British financial technology firm Revolut said its losses more than tripled in 2019, despite a surge in revenues and customer numbers. The London-based start-up, which offers banking and trading services through an app, posted a total loss of £106.5 million ($139.6 million) for the year ending December 31, up from £32.9 million in 2018. That […] Read more
The euro zone’s business activity rebounded in July, according to preliminary data, as strict coronavirus lockdowns were further eased and more people returned to work. In June, the region had already shown signs of a recovery with flash PMIs (Purchasing Managers’ Index) hitting 47.5 — up from 31.9 in May. A reading below 50 indicates an economic contraction. However, the […] Read more
U.K. Finance Minister Rishi Sunak will deliver a fresh set of policy initiatives on Wednesday as Britain looks to spark an economic recovery from the coronavirus pandemic. The “Summer Economic Update,” a de-facto mini-budget, is expected to include tax cuts and new spending pledges in a bid to stimulate demand as the U.K. economy begins […] Read more
U.S. policymakers could “change the world” by devaluing the dollar, one analyst has claimed. Speaking to“Squawk Box Europe” on Monday, independent macro advisor Hugh Hendry said quantitative easing programs — where central banks buy assets like government bonds to inject liquidity into the economy — were not working. Instead of targeting bonds as a form […] Read more
