Monty wants McIlroy kept well away from the Tiger September 25, 2012 FORMER Ryder Cup captain Colin Montgomerie believes it is important Europe’s Rory McIlroy avoids America’s Tiger Woods in the Ryder Cup singles on Sunday. Montgomerie was the captain when Europe won at Celtic Manor two years ago and despite understandable public interest in seeing the tournament’s two greatest talents directly compete, believes it to be [...]
US recovery looks in doubt as Fed activity index collapses September 24, 2012 THE US recovery faltered in August, according to the Chicago Fed’s national activity index released yesterday. The headline indicator fell from minus 0.12 in July to minus 0.87 in August – below the minus 0.7 level that is consistent with weak recovery. Figures above zero indicate more robust growth. The three-month moving average also slipped, [...]
FTSE dips on poor European data and weakness in price of copper September 24, 2012 BRITAIN’S top share index fell yesterday, led by miners, as dull European data kept the focus on a gloomy economic outlook, tempering the boost given to markets by recent central bank stimulus moves in Europe and the United States. Germany’s Ifo index of business sentiment fell for a fifth month running, bucking expectations for a [...]
Bank intervention makes risk management critical September 24, 2012 FX360 CENTRAL banks have never been averse to interventionist strategies. But the approach has certainly fallen from favour – and in spectacular fashion – on a couple of occasions in recent memory. Just over twenty years ago, the UK was desperate to stay within the European Exchange Rate Mechanism (ERM), a system that required each [...]
Traders fear nervous consumers September 24, 2012 THE link between the willingness of a consumer in Indianapolis to go out and buy a new car and the volatility of an exchange-traded derivative may not be immediately obvious. But, in a world where central banks have long since abandoned traditional monetary policy, interest rates are at rock bottom, and the US Federal Reserve [...]
We will soon find out whether America’s recovery is real September 23, 2012 FEDERAL Reserve chief Ben Bernanke took aim at the housing market this month, saying it was one missing piston in the economic engine. The Case-Shiller Home Price Index tomorrow will be the economic equivalent of a peek under the US bonnet at the start of the third quarter, with some wondering if the hum of [...]
Bearish data suggests recovery in US will be an uphill struggle September 20, 2012 THE US economy is stuck a rut, with sluggish growth and only slow improvement in employment, a tranche of data releases showed yesterday. Manufacturing expanded slowly in September, holding steady at 51.5 on Markit’s purchasing managers’ index. This makes the third quarter, on average, the worst since 2009. Philly Fed data also pointed to a [...]
Volcker hits out at Fed-bashing September 20, 2012 ■ Former Federal Reserve chairman Paul Volcker believes it is a “troublesome time” for the US central bank as it becomes increasingly mired in political debates. In an interview with Reuters, Volcker said the Federal Reserve itself has not become politicised, but he warned that Fed-bashing from critics in Congress could diminish confidence in the [...]
Kocherlakota calls for rate cut September 20, 2012 ■ Promising to keep rates low until unemployment falls could help bring joblessness down, top federal reserve official Narayana Kocherlakota told business leaders yesterday. Fed officials expect unemployment to fall to somewhere between 5.2 per cent and six per cent in the long-run – that is the next five to six years. But Kocherlakota said [...]
What the other papers say this morning September 18, 2012 FINANCIAL TIMES Noble Foods hit by eggs surplus Noble Foods, Britain’s largest egg producer by volume, reported a 22 per cent slide in pre-tax profits last year, providing further evidence of the squeeze on the egg industry. BP in talks to sell off refinery BP has held talks to sell its Texas City refinery to [...]