central banks

Debt is not the problem; sustainability is
SINGAPORE (Sept 21): There were at least 102 Singapore-listed companies with net gearing ratios of above 100%, with 17 operate in the property management and development industry, according to 12-month trailing data from Bloomberg. Even so, there are wide differences in the financial strength of individual companies within each sector. Take the two largest developers City Developments (CDL) ...
Asia's policy-makers just scored a new e-commerce growth measure
SINGAPORE (Apr 16): Policy makers in Asia grappling with how to measure the growth of e-commerce just scored one more tool in Singapore. The Singapore Department of Statistics has started publishing the proportion of the city state’s retail sales that were transacted online. In February, those purchases made up 3.9% of overall retail sales, or $144.3 million, compared with 4.1% in the prior ...
Investors face higher market risks in 2018
SINGAPORE (Feb 2): The Federal Open Market Committee, meeting for the last time under outgoing chair Janet Yellen, left the federal funds rate unchanged on Jan 31 while paving the way for rate hikes under Yellen’s successor Jerome Powell. See: Janet Yellen’s Fed era ends with unanimous vote of no rate hike Yellen’s four-year term has been characterised by a gradual tightening approach ...
These factors are critical to continued global growth, says Morgan Stanley
SINGAPORE (Dec 19): Morgan Stanley is in the view that the ongoing global economic cycle will stay stronger for longer, on the back of a pick-up in investment growth, a gradual rise in core inflation, steady removal of monetary accommodation, contained financial stability risks in the US, and a moderate slowdown in China. In the latest edition of Morgan Stanley Research’s Sunday Start ...
Central banks want the world to carry on as they quietly tighten
WASHINGTON/FRANKFURT (Dec 15): Central bankers are gingerly trying to take away the punch bowl without interrupting the party. Led by interest-rate increases by the Federal Reserve and the People’s Bank of China, central banks around the world shifted toward a tighter monetary stance this week. Yet the moves were either so well-telegraphed, or so tiny, and the language about future action so ...
Take advantage of monetary tightening and higher volatility in 2018
SINGAPORE (Dec 5): Central banks will be tightening monetary policies in 2018, but this is no cause for alarm, as higher rates could usher in opportunities, according to financial firm UBS in its The Year Ahead 2018. With global GDP expanding at its fastest pace in six years, central bankers believe economies are now strong enough for them to start withdrawing stimulus. UBS expects the US ...
Central bankers shun policy clues as trade pervades Jackson Hole
(Aug 28): Leaders of the world’s most powerful central banks defended post-crisis reforms at their annual retreat in Jackson Hole, Wyoming, while discussing the causes and consequences of populist waves that have reshuffled the political order in the US and Europe. Monetary policy wasn’t a major focus during the three-day gathering. When it was discussed, the messages from the Federal ...
It’s tricky to unwind QE when central banks hold up to 20% of government debt
(Aug 16): Leading central banks now hold as much as 20% of government debt. This goes to show the scale of challenge to come in unwinding unprecedented stimulus measures deployed over the past decade, according to The Financial Times. The stimulus was meant to be a temporary emergency measure but has now evolved into a big problem for policymakers as they figure out how to return the global ...
Put event risk at core of portfolio strategies, Eastspring tells investors
SINGAPORE (May 31): Liquidity is a double-edged sword, according to Virginie Maisonneuve, chief investment officer (CIO) of Eastspring Investments, a member of Prudential (UK). While the liquidity environment created by regulators and central banks to-date has been supportive of capital markets and provides a “tame” backdrop to the global investment landscape, Maisonneuve warns of ...
3 paper tigers of global recession fears
SINGAPORE (May 23): Bank of Singapore (BoS) is maintaining its neutral stance on US and European equities with a focus on rotation and carry themes, while recommending exiting technology and taking exposure in financials in the case of equities. The subsidiary of OCBC Bank is still expecting positive growth for all of 2017 at the very least, and into 2018 – and projects of US long-bond ...