Global Economics & Investing

By Michael Hartley CFP® | A curated collection of articles about economics, investing, and personal finance. Www.dkeadvisorsolutions.com

Why oil prices are suddenly tanking

Once red-hot, oil prices are suddenly tanking.<p>Rumors about emergency action from the Trump administration helped send US crude plunging 5% on Monday, sinking to as low as $67.58 a barrel.<p>The reversal has wiped out 9% from oil price in less than a week. US oil closed at $74.11 a barrel on July …

Oil

Japan, EU sign trade deal to eliminate nearly all tariffs

TOKYO (AP) — The European Union and Japan signed a landmark deal on Tuesday that will eliminate nearly all tariffs on products they trade.<p>The ambitious pact signed in Tokyo runs counter to President Donald Trump's moves to hike tariffs on imports from many U.S. trading partners. It covers a third …

Europe

UK wage growth dips but interest rate increase seen on track

LONDON (AP) — The Bank of England is expected to raise interest rates again next month even though official figures Tuesday showed wage growth moderating and despite the latest parliamentary tribulations surrounding Brexit.<p>The Office for National Statistics said Tuesday that average weekly earnings …

Economics

World stocks climb to month peak, U.S. dollar hits three-week high

NEW YORK (Reuters) - Stocks on major world markets climbed to a one-month high on Wednesday after a raft of strong corporate earnings, while the U.S. dollar hit a three-week high against major currencies.<p>MSCI's gauge of stocks across the globe gained 0.17 percent and touched its highest point in a …

Stock Markets

Fed's George sees 'excellent' economy, wants more rate hikes

SAN FRANCISCO (Reuters) - With the U.S. economy firing on all cylinders, the Federal Reserve should ease away from monetary policy accommodation and move interest rates up far enough to prevent unwanted inflation but not so fast that a recession ensues, a U.S. central banker said Tuesday.<p>"At a time …

Federal Reserve

There's trouble ahead in the global housing market

Our good friend John Rubino over at DollarCollapse.com just released an analysis titled US Housing Bubble Enters Stage Two: Suddenly Motivated Sellers.<p>He reminds us that housing bubbles follow a predictable progression:<p>Rubino cites recent statistics that may indicate the US national housing market …

Real Estate

Dollar pares gains as investors cash in on boost from Fed's Powell

NEW YORK (Reuters) - The dollar retreated from a three-week high on Wednesday as investors cashed in on gains the currency made after two days of testimony by U.S. Federal Reserve Chairman Jerome Powell reinforced a strong economic outlook.<p>In congressional testimony on Tuesday and Wednesday Powell …

Investing

Oil rises on bullish demand signals, even as U.S. stockpiles grow

NEW YORK (Reuters) - Oil prices rose on Wednesday after U.S. government data indicated bullish demand for gasoline and distillates, which overshadowed a surprise build in U.S. crude inventories and U.S. crude oil production hitting 11 million bpd for the first time.<p>Brent crude futures rose 74 cents …

Oil

Japan is finally starting to admit more foreign workers

WHEN Sakura no Mori hospital and care home in Kawaguchi, 20km north of Tokyo, hired its first foreign workers six years ago, some of the patients …

Japan

Fed's Powell Says Trade Barriers Threaten Wages and Growth

Federal Reserve Chairman Jerome Powell said protectionism can hurt economic growth and potentially undermine wages, just as the U.S. ratchets up …

Economy

EU signs biggest ever trade deal and attacks Donald Trump

The European Union on Tuesday signed an agreement with Japan that will create the world’s largest free trade zone before attacking Donald Trump for triggering possible trade wars with his protectionist “America First” policy.<p>The Japan-EU Free Trade Agreement will eliminate nearly all tariffs …

Donald Trump

Businesses must address impact of next industrial revolution, says Siemens boss

Global workforces will fall as the next industrial revolution gets under way, the head of one of Germany’s biggest firms has warned, unless workers are retrained with new skills.<p>Joe Kaeser, global chief executive of the engineering giant Siemens, said up to almost a third of jobs could be lost as …

Manufacturing

The EU Just Slashed the Eurozone Growth Forecast Because of U.S. Trade War Tensions

The Eurozone is already bracing for the fallout of tightening trade tensions with the U.S.<p>Europe’s summer interim forecast puts growth 0.2% lower …

Oil

Never Mind the VIX, Anxiety Is Everywhere in U.S. Stock Market

The Nasdaq 100 is at a record, stocks have just strung together two straight weeks of gains and one of the best earnings seasons in a decade is at …

Stock Markets

India’s phenomenal mobile manufacturing boom in one chart

Indians aren’t just talking non-stop on mobile phones, they are also making them like never before.<p>Over the last four years, the country has seen a massive boom in the number of mobile manufacturing units under the Narendra Modi government—in fact, a 60-fold increase, if electronics and information …

India

Paychecks Lag as Profits Soar, and Prices Erode Wage Gains

Corporate profits have rarely swept up a bigger share of the nation’s wealth, and workers have rarely shared a smaller one.<p>The lopsided split is especially pronounced given how low the official unemployment rate has sunk. Throughout the recession and much of its aftermath, when many Americans were …

Income Inequality

After the Bell: Dow Gains 94 Points Because Tariffs Aren’t a Problem

By<p>July 13, 2018 7:10 p.m. ET<p>The <b>Dow Jones Industrial Average</b> gained more than 100 points today and had its best week since June 8. In today's <i>After the</i> …

Stock Markets

U.S. import prices post biggest drop in over two years

WASHINGTON (Reuters) - U.S. import prices fell the most in more than two years in June as prices for petroleum products fell and a strong dollar weighed on the costs of other goods.<p>Economists said the unexpected drop in import prices reported by the Labor Department on Friday was likely temporary …

Economy

Japan is defusing its demographic time bomb, but the US is building one of its own

Rich countries like the US and Japan are struggling to make enough babies. As sizeable populations of older adults retire and age out of the …

Demographics

Investors pull $1.85 billion from U.S.-based equity funds: Lipper

(This July 12 story corrects data after Lipper revision on U.S.-based corporate investment-grade bond funds in paragraph 9.)<p>NEW YORK (Reuters) - Investors withdrew $1.85 billion from U.S.-based equity funds in the week ended Wednesday despite strong stock market performance during the same period, …

Stock Markets

U.S. stock futures hit five-month high

TOKYO (Reuters) - U.S. stock futures rose to a five-month high on Friday, extending their recent rally on expectations of solid earnings growth among U.S. firms despite threats from trade wars.<p>S&P500 e-mini futures <ESc1>, the world's most liquid equity index futures, rose 0.15 percent in early …

Stock Markets

Singapore second-quarter GDP growth slows as trade tensions cloud outlook

SINGAPORE (Reuters) - Singapore's economic growth eased in the second quarter and missed forecasts, preliminary data showed on Friday, as manufacturing activity cooled and worsening U.S.-China trade tensions clouded the outlook for the trade-reliant city-state.<p>Gross domestic product grew 1.0 …

Economy

Stocks Halt Four-Week Slide in Asia; Pound Drops: Markets Wrap

Asian stocks are set for the first weekly advance in five as trade tensions appeared to ease after China refrained from detailing retaliation plans …

Stock Markets

Emerging Market Sell-Off Is Only Going to Get Worse, Survey Says

With the Federal Reserve still boosting interest rates and President Donald Trump still raising tariff threats, the bottom for emerging markets …

Stock Markets

The U.S. Could Soon Reclaim the World's Oil Crown

It’s a gusher.<p>U.S. oil production could reach 11.8 million barrels a day next year, the U.S. Energy Information Administration predicts in its July …

Oil

Tech stocks touch record highs, dollar steadies as trade fears ebb

NEW YORK (Reuters) - U.S. stocks closed higher on Thursday as industrials rebounded and technology names soared, while commodities recovered and the dollar held steady after concerns over an escalating U.S. trade war with China took a breather.<p>Technology companies - including Facebook, Microsoft …

Stock Markets

Dollar gains sustained by trade war risk, rising inflation

NEW YORK (Reuters) - The U.S. dollar held steady at a six-month high against the Japanese yen and a two-month high against the Swiss franc on Thursday, bolstered by solid inflation data and investor sentiment that the greenback stands to benefit from a trade war.<p>The yen <JPY=> and the Swiss franc …

Trading

After the Bell: Dow Sinks 220 Points as More Tariffs Take a Toll

By<p>July 11, 2018 4:47 p.m. ET<p>The <b>Dow Jones Industrial Average</b> sold off on renewed worries of a trade war as the U.S. and China continue to spar. In …

Stock Markets

Copper Prices Keep Sinking And It's Not Just The China Trade War

Copper stocks took a dive on Wednesday, dragged down with the price of copper on news of President Trump's plan to broaden the China trade …

Stock Markets