Brexit decision may drive technical recession in euro area in H2 2016

Jun 24, 2016 09:02 am UTC| Commentary Economy Central Banks

With UK voting to leave the EU, the euro area is likely to experience a technical recession due to higher uncertainty and declining investment. The euro area is now likely to grow 1.2 percent in 2016 and 0.7 percent the...

Stability seen in Norwegian labor market

Jun 24, 2016 08:27 am UTC| Commentary Economy

The Norwegian labor market has weakened due to the downturn in the oil sector; however, a flexible labor market in other sectors growth is absorbing some of the shock. Rise in unemployment is slower in 2016 than last year,...

FX Hedging Strategy Series

FxWirePro: When all eyes on Brexit, umpteen reasons to hedge dollar’s bullish risks in H2

Jun 24, 2016 07:12 am UTC| Insights & Views Economy

On the result day of Brexit referendum, the globalmarkets buckled up as Britains vote on European Union membership infected almost all asset class. But on along run, a sharp fall in real bond yields and a bounce in oil...

Uncertainties likely to prevail for some time post Brexit decision

Jun 24, 2016 07:04 am UTC| Commentary Economy

The UK has voted to exit the EU. As expected, the UK was quite divided in the decision. Northern Ireland, London, Scotland and Wales were predominantly voting for staying in the EU. Excluding London, England was mainly...

Implications of Brexit on New Zealand economy

Jun 24, 2016 06:58 am UTC| Economy Commentary

The New Zealand economy is unlikely to be affected in the immediate aftermath of the Brexit; however, the nervous global environment is likely to see the New Zealand dollar fall further against the US dollar in the days...

PBOC likely to cut policy rate as UK votes to leave EU

Jun 24, 2016 06:07 am UTC| Commentary Central Banks Economy

The Peoples Bank of China (PBoC) is expected to advocate another additional cut in the reserve requirement ratio, in reaction to Britains withdrawal of its membership from the European Union. Although the Brexit result is...

U.S. housing activity likely to remain strong in medium term

Jun 24, 2016 05:54 am UTC| Commentary Economy

Sales of new homes in the U.S. dropped sharply in May, declining 6 percent on sequential basis to 551,000. Consensus expectations were for 560,000. Meanwhile, data was downwardly revised for prior months. This was due to...