Dollar Slides to Five-Week Low as Asian Stocks Struggle and Markets Bet on Fed Rate Cut 
Asian Markets Mixed as Fed Rate Cut Bets Grow and Japan’s Nikkei Leads Gains 
China Urged to Prioritize Economy Over Territorial Ambitions, Says Taiwan’s President Lai 
IMF Deputy Dan Katz Visits China as Key Economic Review Nears 
Asian Markets Mixed as RBI Cuts Rates and BOJ Signals Possible Hike 
European Stocks Rise as Markets Await Key U.S. Inflation Data 
Asian Currencies Steady as Rupee Hits Record Low Amid Fed Rate Cut Bets 
Spain’s Industrial Output Records Steady Growth in October Amid Revised September Figures 
China’s Services Sector Posts Slowest Growth in Five Months as Demand Softens 
Asian Currencies Steady as Markets Await Fed Rate Decision; Indian Rupee Hits New Record Low 
Japan’s Nikkei Drops as Markets Await Key U.S. Inflation Data 
RBI Cuts Repo Rate to 5.25% as Inflation Cools and Growth Outlook Strengthens 
Germany’s Economic Recovery Slows as Trade Tensions and Rising Costs Weigh on Growth 
Dollar Weakens Ahead of Expected Federal Reserve Rate Cut 
Australia’s Economic Growth Slows in Q3 Despite Strong Investment Activity 
U.S. Futures Steady as Rate-Cut Bets Rise on Soft Labor Data 
Asian Markets Stabilize as Wall Street Rebounds and Rate Concerns Ease 
Luxembourg has retained its prestigious ‘AAA/A-1+’ sovereign credit rating from S&P Global Ratings, with a stable outlook, underscoring the nation’s resilient fiscal position and policy flexibility. The rating agency emphasized Luxembourg’s ample fiscal space, which allows it to withstand global economic pressures without jeopardizing its strong net government asset position.
S&P noted that Luxembourg’s economy remains fragile after exiting a technical recession in 2023. The agency now forecasts real GDP growth of just 1% in 2025, down from its earlier 2.4% projection, citing weaker global trade, financial sector volatility, and geopolitical uncertainties. However, growth is expected to rebound, averaging 2.1% between 2026 and 2028, supported by easing monetary policy, eurozone recovery, and housing market stabilization.
The country’s fiscal performance remains robust, with a budget surplus of 1% of GDP in 2024, outperforming expectations. S&P projects a slight surplus of 0.2% in 2025 before shifting to an average deficit of 0.9% from 2026 to 2028, as revenue growth slows and expenditures rise. Key risks include volatile corporate tax revenues, pension sustainability, and rising defense commitments, with Luxembourg pledging to boost defense spending to 5% of gross national income by 2035 under NATO obligations.
Despite these challenges, Luxembourg’s net government asset position is forecast at 10% of GDP by 2025, gradually easing to 6% by 2028. Debt servicing costs remain minimal, with interest payments projected at under 1% of government revenue. As a leading financial hub, Luxembourg continues to reduce its external debt burden, which improved to 139% of current account receipts in 2024, down from 255% in 2019, reinforcing its financial stability.
