Idiosyncratic factors add to challenging environment for Emerging Markets

Jul 31, 2015 09:42 am UTC| Commentary

Commodity prices are still under pressure, with under performance rotating from metals to energy over the past week. The macroeconomic environment for EM markets remains harsh. Just as investors were taking comfort from...

Malaysia’s cabinet reshuffle has consolidated PM Najib’s position

Jul 31, 2015 09:28 am UTC| Commentary

In Malaysia, Prime Minister Najib Razak reshuffled his Cabinet on Tuesday.The most important change was the exclusion of Deputy Prime Minister and UMNO Deputy President Muhyiddin Yassin, who recently had expressed concerns...

Contraction of Mexico's real exports more than real imports to hurt trade balance

Jul 31, 2015 09:24 am UTC| Commentary

Despite the real depreciation of 8.8% of the MXN in the past 12 months, Mexican exports did not react as one would expect, resulting in a trade balance deficit of USD4bn, much larger than the USD0.3bn deficit in H1 14.This...

A strong decline in Colombia real imports likely to diminish deterioration of trade balance

Jul 31, 2015 09:21 am UTC| Commentary

In Colombia, the very strong real currency depreciation of 20.4% in the past 12 months and the slowdown in activity have started affect Colombias trade balance.So far, with the very strong deterioration in the terms of...

Another 50bp hike by Kenya’s MPC next week

Jul 31, 2015 09:12 am UTC| Commentary

In next weeks main releases, Kenyas MPC meeting is the most prominent."Following a cumulative 300bp hike during June and July, further tightening, with an increase of at least 50bp likely", says Barclays.Though inflation...

Crop outlook for the global wheat markets revised by IGC

Jul 31, 2015 09:05 am UTC| Commentary

The IGC forecasts global wheat production of 710 million tons in 2015/16, which is 1 million tons less than it had predicted in June.The marginal downward revision was prompted by slightly poorer crop prospects in Canada...

Continued outflows from the gold ETFs

Jul 31, 2015 09:02 am UTC| Commentary

The gold price was already looking weaker ahead of the US GDP data, with the result that there were no further price falls following publication of the figures. The firmer US dollar also prevented any recovery movement,...