Markets & Industries
Experts: Impact of coronavirus on Chinese economy is more convincing than Fed's zero rate - 03/17/2020
The main macroeconomic indicators of the Chinese economy sagged by 13–25% in January-February against the backdrop of the fight against coronavirus, as seen from the first official data from the National Bureau of Statistics of the PRC. This is much worse than expected by analysts: apparently, Chinese statistics became the main reason for the collapse in world markets. This did not prevent the US...
ECB: COVID-19 is a “major shock” for global economy - 03/13/2020
President of the European Central Bank (ECB) Christine Lagarde said that there is a need for "large-scale and coordinated" measures in response to the coronavirus, warning that its spread has already become a "strong shock" for the prospects for global economic growth. “We urge governments and all other political institutions to take timely and targeted action,” Lagarde said during a press...
Price war in oil market will slow down transition to clean energy - 03/13/2020
The ongoing price war in the oil market, which caused the collapse of quotations, will adversely affect countries' desire to switch to clean energy, said Fatih Birol, Head of the International Energy Agency (IEA). Analysts warn that a price war in the oil market, along with a slowdown in global economic growth, could hit demand for electric cars and reduce the attractiveness of measures to...
European Commission to soften rules for airlines during COVID-19 epidemic - 03/12/2020
EU authorities want to suspend the rules for receiving and maintaining slots at airports during the epidemic of the coronavirus COVID-19. Because of the rules, airlines are now forced to carry "ghost flights" with almost no passengers on board. This further worsens the situation in the face of a sharp decrease in passenger traffic due to the spread of coronavirus. The European Commission is...
Experts: US oil production will begin to decline in May - 03/12/2020
US oil production will increase this year, despite the termination of the OPEC + deal and falling oil prices, follows from the monthly short-term forecast of the Energy Information Administration (EIA) of the US Department of Energy. Compared to last year, the supply volume will increase by 760 thousand barrels per day (bpd), up to 12.99 million bpd, and not by 960 thousand bpd, as previously...
Goldman Sachs: Oil prices could drop to $ 20 - 03/09/2020
Analysts at the American Goldman Sachs leave open a possibility of a drop in oil prices to $ 20, Bloomberg writes. Today, March 9, after the OPEC + countries failed to agree on an additional reduction in oil production following the results of negotiations in Vienna, the price of Brent oil fell by 20% to $ 35. “We believe that the OPEC and Russia oil price war unequivocally began this weekend...
Growth of passenger air traffic in January becomes the weakest since 2010 - 03/05/2020
The growth rate of global passenger air transportation in January was the weakest since spring 2010, when the industry was affected by the eruption of the Icelandic volcano Eyjafjallajökull. Now the industry is restrained by the spread of coronavirus from China, according to a press release from the International Air Transport Association (IATA). The growth rate was only 2.4% year on year after...
Hong Kong Monetary Authority cuts rate following USA - 03/04/2020
On Wednesday, the Hong Kong Monetary Authority (HKMA), which acts as the monetary regulator, announced that the base interest rate would be reduced by 50 basis points to 1.5% per annum, the regulator said in a release. Appropriate measures followed a similar move in the United States, where the Federal Reserve System (Fed) unexpectedly lowered its key rate by 0.5 percentage points to 1-1.25% from...
Trump administration insists on Fed rate cuts due to coronavirus - 03/03/2020
The administration of US President Donald Trump is discussing measures that will reduce the impact of coronavirus on the economy and markets, writes Bloomberg. In particular, the officials intend to push the Federal Reserve System (Fed) to lower the base interest rate. According to the agency’s sources, Director of the National Economic Council under the White House of the USA Larry Kudlow and...
BofA lowers global economy forecast for 2020 due to coronavirus outbreak - 02/28/2020
Bank of America believes that, due to the spread of the new coronavirus COVID-19, 2020 may become the worst year for the world economy since the financial crisis in 2009. Amid the virus outbreak, Bank of America reduced its forecast for global GDP growth for this year to 2.8%. Among the “side effects” of the new disease, experts also called disruptions in the supply of goods and problems in the...
