Global Economy

Globalisation has brought interconnectedness and a wealth of opportunities. Yet developed countries are growing weary of globalisation and starting to increasingly move towards protectionism. China, the emerging country powerhouse, is slowing its growth.

Latest News On The Global Economy

Since the global financial crisis in 2008, recovery has been timid, developed countries are struggling with the effects of long term low interest rates and high debt. Asset prices have been growing, while salary growth has remained stagnant.

Will the global economy fully recover? Are asset prices overvalued, or will they keep increasing?

In a world with low growth, what are the best and worst countries to put your money in? After all, any country can turn from a booming powerhouse into a stagnant economy. We all watched it happen in 2008…

Get an insider’s outlook on what is going on in around the world, the best investment opportunities and what international events mean for your wealth. For more information, go here.

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global economic outlook in trouble
No Bang for Our Borrowed Buck
Even with all of this innovation, our economic growth is slowing. The reason for this, Vern argues, is that we have failed to be adaptive in our economic model. And now we are drowning in debt and are struggling to keep our economy stable. Although we are accustomed to our GDP always rising, and our living conditions becoming ever-better, it’s an expectation that we need to rethink.
America: The Next Venezuela
America: The Next Venezuela
As we write, a classic catastrophe is developing in Venezuela. The bolívar — the Venezuelan currency — is expected to lose about 99.99% of its value this year. How do these crises happen? Slowly…and then all of a sudden. That process is already well underway in America.
global markets
Dr Doom Brought to You from the Grand Hyatt Melbourne
‘Doctor Doom’ Marc Faber is down in Melbourne to discuss where the world is heading. Is a stock market crash on the cards? Or is it something else? ‘Where is the World Going?’ was the theme of Dr Faber’s presentation today. And around the world we went. Dr Faber had so much to say, we can’t fit everything in. But Dr Faber is quite well versed in the Chinese economy...
Donald Trump and the Deep State war against the world
The War the Deep State Doesn’t Want to Win
That’s fine for a fake war, right? If there’s not really anything at stake, you don’t have to worry about winning. It is now a Deep State requirement that the president gets behind the foreign wars. That means a bigger budget for the military…and more misadventures overseas.
china and US
Trump and China Are on the Same, Wrong Side
In one corner, we have The American Dreamer: the Blond Bombshell himself, Donald J. Trump. In the other, there is Xi Jinping of the Great Red Hope, determined not to be the Last Emperor of the Middle Kingdom. Pretending to do battle, both are really on the same team…working together towards the same goal — separating the fans from their money.
US economy being punched
The Economy Will Lose a Few Teeth…
Guggenheim investment fund’s global chief investment officer Scott Minerd predicts a 40% decline for the Dow…mostly in 2019. He says the US economy is on a ‘collision course with disaster’. He’s right — at least about the ‘collision course’.
Should investors trust facebook?
Should Investors Trust Facebook?
While we technically have the whole world at our finger tips, our world can become one-dimensional and limited. This is something really risky for investors. Hearing one view, confirming what you already think, can be dangerous for your investments. You are not seeing new ideas or challenging your own.
China flag, international trade war
Why Stocks Will Be Body-Slammed
During the legendary 1998 wrestling match known as ‘Hell in a Cell’, two professional wrestlers faced off: ‘The Undertaker’ and Mick Foley, aka ‘Mankind’. The idea was for the two to do their usual stunts — poking, whacking, tossing, and …
Mineral Resources share price
This Trade War May Have Little to Do with Trade
A trade surplus is way down on the list. Far more important is the control of revolutionary technologies. It’s why China has been rapidly increasing their patent applications. It’s also why China has created 17 technological innovation zones. To become the world’s future super power, China knows the most important ammunition will be technology.
US stocks
The Best Bet for US Stocks
Logically, if falling interest rates sent stocks up…interest rate increases should send them back down. And already, they have. The Nasdaq is negative for 2018. The Dow has moved about 8% below its peak. And if we’re right about the general direction of things, theory tells us that interest rates ought to continue going up…and stocks ought to continue going down.
cash
Just a Piece of Paper
The truth is that we place more value on those pieces of paper than when we see them as a number on the screen. The great thing about cash is also that it gives you some financial freedom. Holding cash gives you control over how and when you spend it but pushing to digital transfers some of that control to the authorities.
Donald Trump US Economy
What Trump’s Quack Economists Will Do Next
Yesterday, stock markets bounced back in the afternoon, after investors began to think that maybe Donald Trump wasn’t really serious about a trade war. One day, perhaps soon, they won’t be in such a good mood. And the market won’t bounce back. Not that the end is necessarily nigh…but, in theory, it must be out there somewhere.
cashless society and the risks involved
Sorry, We Don’t Take Cash
Going cashless is great for central banks. It makes monetary policy much easier. Without a cash option, the longer you keep money in the bank the more it costs you. So, there is an incentive to spend it…which in turn could boost the economy. The central bank has warned Sweden could become the first cashless society. However, Sweden are now starting to realise that going cash free makes them vulnerable.
US economy illness
The Source of America’s Economic Illness
‘Strong as an ox’ sounds like a good thing. But it does not accurately describe the U.S. economy we see. A strong economy is one in which people earn more money, save it, and invest it in new businesses and new capacity so they can earn even more. None of that is happening. The savings rate recently fell to 2.5%, about as low as it has ever been.
China and United States trade war
Choose Your Next Move Carefully…
Last month, the US imposed tariffs on steel (25%) and aluminium (10%). They temporarily suspended tariffs for the European Union, Argentina, Australia, Brazil, Canada, Mexico and South Korea. But not for China. Over the weekend, China retaliated…with more tariffs. What does this mean for the global economy?