America has just seen two big manufacturing growth misses February 3, 2014 The US has just gone zero for two. After the disappointing Markit manufacturing growth data we saw earlier, ISM manufacturing points to a gloomy start for 2014. The headline purchasing managers' index (PMI) number came in at just 51.3 for January – a huge drop from 56.5 in September. Analysts had expected a much smaller [...]
Former Fed chair Bernanke to take Brookings job February 3, 2014 A big hire for Brookings. They've got former Fed chairman Ben Bernanke on board, after eight years at the head of the central bank. Bernanke's new title is that of "distinguished fellow in reisdence" at the Hutchins Center on Fiscal and Monetary Policy. Here's what David Wessel, director of the Hutchins Center, has to say [...]
US manufacturing growth misses in January February 3, 2014 A poor start to this afternoon's US data releases. The Markit manufacturing purchasing managers' index (PMI) has stayed flat at 53.7 in January. Analysts had been expecting a small rise to 53.8. Any number above 50 implies expansion, so the sector certainly isn't dying just yet. We're still having to account for the bad weather [...]
Every awful emerging market acronym in 1 chart February 3, 2014 Inspired by this chart from the TUC's Duncan Weldon, we've stuck together just 10 of the many popular emerging market acronyms in a single diagram. Hopefully you can now make sense of what often seem to be quite arbitrary categorisations. We think you'll agree that it all looks quite messy, and the takeaway seems to [...]
Here’s how Spanish statisticians are choking SMEs February 3, 2014 The toll of reporting to Spanish statistical agencies is a real threat to small firms, reports Spanish newspaper El Mundo. Reporting requirements are particularly costly for smaller businesses, who find it difficult to file the necessary paperwork, and often have to outsource the work. Businesses that don't comply face fines of €60 ($9) to €30,050 [...]
UK manufacturing sees new export orders at February 2011 high February 3, 2014 The UK's manufacturing sector is still roaring – but there are two small pieces of bad news. Markit's manufacturing purchasing managers' index (PMI) shows the UK dropping to 56.7 in January. Analysts had expected a fall to 57. And December's headline figure of 57.3 has been revised down slightly, to 57.2. Any number above 50 [...]
Eurozone manufacturing growth at 32 month high February 3, 2014 A revived manufacturing sector, or a dead cat bounce? Markit's Eurozone manufacturing purchasing managers' index (PMI) came in at 54 in January, up from 52.7 in December. Economists had forecast a jump to just 53.9. Any number above 50 implies expansion, so this headline figure suggests the sector is growing more rapidly. Berenberg's Rob Wood [...]
What hamburgers can tell us about the Norwegian krone February 3, 2014 You might not think to base your financial forecasts on takeaway trends. But The Economist's somewhat tongue in cheek "Big Mac index" has been offering investors a foreign exchange indicator, based on McDonald's famous burger of course, since 1986. The purpose of the index is to compare the prices of the same good – the [...]
Bank of England to cut 100 jobs following efficiency review January 31, 2014 The Bank of England is to cut 80-100 staff following its Value for Money review, subject to staff consultation. The review looked at staff deployment and direct expenditure and has identified savings of around £18m by 2015/16 (around 10% of the spend reviewed). Funds released through this review will be re-invested across the business in [...]
City & Gild: As the economy improves, a new battle between value and volume emerges January 31, 2014 What should the consumer make of the recent spat between Adidas and Sports Direct, and how will the unfolding saga affect each brand? At the end of last year, the German sportswear giant refused to supply the retail chain with Chelsea latest replica kit. From my perspective, there will no doubt be some turbulence in [...]
