Salient to Investors: Fareed Zakaria said: Unlike most developing nations, China spends little on subsidizing current consumption but spends massively on export-free zones, highways, rail systems and airports. No developing democracy has been able to ignore short-term political pressures and execute a disciplined growth strategy with such success. China’s growth
READ MORE... →Salient to Investors: Clive Crook writes: The global economic recovery is hardly worthy of the name – the IMF again reduced its growth forecasts. Recessions involving financial crashes are harder to recover from than ordinary downturns. The failure of international cooperation is most egregious in the EU, where the EU core
READ MORE... →Salient to Investors: Clive Crook writes: The global economic recovery is hardly worthy of the name. The IMF has again reduced its forecasts for the world economy. Recessions involving financial crashes are harder to recover from. Two great failures of coordination receive scant economic discussion. Precious little effective international cooperation
READ MORE... →Salient to Investors: Fed tapering, China’s credit squeeze, and Japan’s reflation ultimately prime the three biggest economies for less volatile and longer-lasting expansions, but near-term, emerging markets, commodity producers, and economies that need cheap cash or weaker currencies, including the euro area, could suffer. Stephen Jen at SLJ Macro Partners said that
READ MORE... →Salient to Investors: The IMF said: Global growth will struggle to accelerate in 2013 as the US expansion weakens, China’s economy levels off, and Europe’s recession deepens. Global growth will be 3.1 percent in 2013, unchanged from 2012, and 3.8 percent in 2014. Developing economies will grow 5 percent in 2013,
READ MORE... →Salient to Investors: The IMF said: Global growth for 2013 will be unchanged at 3.1 percent as US growth slows to 1.7 percent in 2013 and 2.7 percent in 2014. Global growth will be 3.8 percent in 2014. Downside risks to global growth prospects still dominate, with the possibility of a longer
READ MORE... →Salient to Investors: Nouriel Roubini writes: Expect a decade ahead of very low economic growth in the US, Europe, Japan and other advanced economies, with rising unemployment and social and political unrest. Unstable disequilibrium, is the new abnormal. The economy was first anemic because of the financial crisis of too
READ MORE... →Salient to Investors: Alexander Friedman at UBS says: What Fed has done is not unexpected and the market reacted because it was ahead of itself. All the Fed was saying was that the US is doing OK, that the data is trending as it should, and that it has confidence
READ MORE... →Salient to Investors: Timo Boehm at Pimco has reduced bets on covered notes as Europe’s covered bond market falls out of favor as investors seek better returns on their risk – some highly rated alternatives including sovereign-backed and agency notes are much cheaper. Boehm said covered bond sales this year will fall
READ MORE... →Salient to Investors: Cap Gemini and Royal Bank of Canada said in their millionaire report for 2012: North America reclaimed the most millionaires top spot. 3.73 million North Americans had at least $1 million in investable assets versus 3.68 million in Asia-Pacific. The combined wealth of the world’s millionaires rose 10 percent to
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