Economy

Sterling Tumbles as UK Inflation Stagnates

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The Pound dropped to a one month-low against the US Dollar and dipped below the €1.10 mark, when the Office for National Statistics (ONS) published data regarding UK inflation, the UK retail price index and the producer prices index. Miltiadis Skemperis Currency Solutions According to the ONS report, inflation in July remained stable at 2.6%, missing the market’s expectations for a rise at 2.7%. The retail price index edged up higher than expected at 3.6%, raising prospects for steep rail ... Read More »

Tough talk has lifted cost of insuring South Korean debt

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Five big themes likely to dominate thinking of investors and traders in the coming week Reuters Asia Times 1. Jaw-jaw, sell-sell An unnerving war of words between Washington and Pyongyang has pushed the cost of insuring South Korean debt against default to its highest in 1-1/2 years and the expected volatility of the Korean won is creeping higher. Gauges of market risk have been rising but are far off their peaks as the expectation still is that diplomacy would prevail ... Read More »

Hammond Backtracks on Brexit Deal

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Chancellor Philip Hammond has “bent the knee” to Brexit hardliners as he signed a joint article with Liam Fox for the Sunday Telegraph, which said that the UK will definitely leave both the customs union and the single market when it exits the European Union (EU) in… Miltiadis Skemperis Currency Solutions Hammond had called for a transitional deal which could last up to three years, keeping the current trading arrangements with the EU and the rules on movement for workers. ... Read More »

Is The World’s Resources Not Enough for Everyone?

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Today, nearly 8 billion people live in the world. Each year, 4.5 billion tons of food is produced. Our world’s food production has enough capacity to easily feed humanity, even with an overproduction of 50%. In other words, enough food is produced every year to feed 10 billion people. HARUN YAHYA American Herald Tribune This statistic proves that famine is not the reason behind the wars of the world. No one is attacking or slaughtering others to survive; no one’s ... Read More »

Japan’s Abenomics failure is 30 years in the making

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This is the second in a two-part series on how world economies are relying on 30-year-old tools that won’t work today WILLIAM PESEK Asia Times Japan’s Shinzo Abe has a bad case of Yasuhiro Nakasone on the brain. It’s not that the current prime minister constantly evokes the name of the one who served from 1982 to 1987. But in word, deed and worldview, Abe has read from the playbook of a fabled leader his dad, Shintaro Abe, served as ... Read More »

Vietnam bank profits poised to pop

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Double-digit profit growth rate points to a bubbly credit boom that threatens to inflate underlying problems in the unreformed finance sector. Alan Boyd Asia Times Vietnam’s crowded banking sector is popping the champagne after reporting double-digit profits in the first half of the year, but a bubbly credit boom seems poised to pop later in the year. Pre-tax earnings of the nine listed banks grew by an average 30%, with Vietcombank reaping $232.5 million, VietinBank $212.4 million, BIDV $164.1 million and Military Bank $111.7 ... Read More »

Why China’s Commercial Sector Is America’s Real Strategic Foe

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Washington must take action to defend its national interests against malign Chinese commercial actors. Rep. Ted Yoho The National Interest Despite the furor they’ve caused, the revelations this month that North Korea has functioning ICBMs and miniaturized nuclear warheads shouldn’t come as a surprise. The foreign-policy community has watched for years as Kim Jong-un has steadily developed more advanced weapons capabilities. While most of the world has come together to constrain Kim’s nuclear ambitions, the sophistication of his weapons programs has ... Read More »

Could Brexit Lead to Another Financial Crisis?

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It was 10 years ago when the financial crisis hit the UK, and today, former chancellor of the exchequer, Lord Alistair Darling cautioned that there could be another. Sunny Rogers Currency Solutions Speaking on BBC Radio 4’s Today Programme, the former chancellor reminisced on the events that unfolded as the crash began to engulf the country, outlining “the most scary moment” of the crisis. “I had to go to one of these meetings of European finance ministers, and I was asked to ... Read More »

Everybody Is Talking About Blockchain, And Here Is Why You Should Care

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New technologies with all kinds of interesting names are popping up every day, but few of them are as hyped as the word “blockchain.” Sami Rusani HuffPost This technology has the capability to reinvent the Internet and technology as we know it. From startups disrupting trillion dollar industries, to massive crowd funding campaigns raising over 100 million dollars in a few hours, to solving social inequality – blockchain is on fire! To understand why it’s becoming such an important part ... Read More »

Greece goes fishing for oil in Ionian Sea, Crete

epa04562446 A view of the Repsol oil rig off the coast of the Canary Islands, Spain, 16 January 2015. Spanish oil company Repsol finished its drilling operations in the Canary Islands and will leave the zone after the first explorations didn't show a significant presence of gas or oil at the subsoil, the multinational announced in a press release. Repsol had started to drill for hidrocarbons in the islands on 18 November 2014 some 60 km far from Lanzarote and Fuerteventura islands.  EPA/CRISTOBAL GARCIA

An oilrig off the coast of the Canary Islands, Spain. On August 7, Greece announced two international tenders for granting the right to explore and exploit hydrocarbons in the Ionian Sea and Crete. New Europe Online/KG  Foreign companies asked to submit bids Greece goes fishing for oil in Ionian Sea, Crete <style type=”text/css”> .wpb_animate_when_almost_visible { opacity: 1; }</style> On August 7, Greece’s Energy Ministry announced two international tenders for granting the right to explore and exploit hydrocarbons in the Ionian ... Read More »

Will China be a Factor in the Upcoming NAFTA Negotiations?

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Beijing is incentivizing Mexico City and others in Latin American to rethink their traditional trading relationships. Bill Bray Miyako Yerick The National Interest The first round of NAFTA renegotiations is set to take place in Washington, DC August 16–20 and one of the primary U.S. objectives is reducing its $63 billion trade deficit with Mexico. Mexico is in a position to drive a harder bargain than many would think, however. Unlike thirty years ago, Mexico today can leverage China’s growing foreign direct ... Read More »

Vietnam backs off South China Sea drilling at behest of Beijing

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Suspension of project near border of exclusive economic zone another victory for Beijing Asia Unhedged Asia Times Spanish energy firm Repsol has suspended oil drilling off the coast of Vietnam in waters claimed by China, after Hanoi came under pressure from Beijing to stop, Reuters reported this week. “We are working with the PetroVietnam and with the Vietnamese authorities and the only comment is that right now, operations have been suspended,” Repsol’s chief financial officer, Miguel Martinez, was quoted as ... Read More »

Vietnam, Yielding to Beijing, Backs Off South China Sea Drilling

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HONG KONG — Vietnam appears to have retreated in a high-stakes maritime gambit against China, suspending a gas-drilling project that it had approved in the South China Sea but that was said to have irritated Beijing. Mike Ives The New York Times The drilling, by a subsidiary of the Spanish energy company Repsol, had started in June off the southern Vietnamese coast, analysts said. The offshore block where the drilling was occurring straddles the border of Vietnam’s 200-nautical-mile exclusive economic ... Read More »

Unemployment in Europe has fallen to its lowest level since 2009

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Unemployment in the Eurozone has now fallen to its lowest level since early 2009, as the single-currency area continues along a road of economic recovery one year after the Brexit vote rattled confidence in the bloc’s future. Robin Bowman World Economic Forum In June this year, euro-area unemployment dropped to 9.1%, down from 9.2% the previous month, and from 10.1% in the same month in 2016. This pattern reflects a trend seen across the EU as a whole, where the ... Read More »

GOP clash looms over raising the debt ceiling

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Mitch McConnell and Paul Ryan are planning to push for a hike without accompanying spending cuts — a position at odds with GOP orthodoxy. SEUNG MIN KIM and RACHAEL BADE Politico Republican congressional leaders are quietly preparing to pass a “clean” debt ceiling increase, according to multiple senior GOP sources — setting the stage for a high-risk showdown with rank-and-file Republicans this… Trump administration officials, led by Treasury Secretary Steven Mnuchin, are imploring Congress to raise the $19.8 trillion debt limit with ... Read More »

Treaty to enable high seas marine protected areas takes step forward

o0806042 - 08 JUNE 2004 - TASMAN SEA 
The NZ deep sea trawler West Bay does a fast turn after hauling its catch from international waters in the Tasman Sea. Greenpeace  along with more than a thousand scientists are supporting the call for a moratorium  on high seas bottom trawling, because of the vast amount of marine life that is destroyed by this fishing method.
©2004Greenpeace/Roger Grace

The United Nations has advanced a step closer to an international treaty to protect marine life on the high seas, with an aim of setting up a mechanism for creating marine protected areas in areas beyond national jurisdictions. Aaron Orlowski SeafoodSource International waters outside countries’ exclusive economic zones make up 60 percent of the ocean and cover almost half of the surface of the earth. The waters are rife with marine life, including many threatened species, but are subject to ... Read More »