Economy

U.S. default seen as buying opportunity

The risk of America technically defaulting on its debt is increasing rapidly, with the odds of such an event rising to 1 in 5 as a result of political bickering south of the border. That’s the view of Jack Ablin, chief investment officer of BMO Harris Bank in the U.S., who said the risk was […]

By Staff |July 21, 2011

3 min read

Bank of Canada holds fast on rates

The Bank of Canada has announced it will maintain its target for the overnight rate at 1%, holding the Bank Rate at just 1.25% and the deposit rate at 0.75%. While the global economic recovery is largely unfolding as expected, the Bank cited slower than anticipated growth in the U.S. as a concern. The Bank […]

By Staff |July 19, 2011

3 min read

Carney bound by macro forces

It can’t be easy being Mark Carney these days. With a mandate to keep inflation in check, the Bank of Canada governor should be facing an easy decision on interest rates Tuesday. But there are a lot of details outside of inflation he must contend with, according to a report from Desjardins Securities. “In the […]

By Staff |July 18, 2011

3 min read

Who’s to blame for global inflation?

Inflation, a global concern, is almost everywhere considered to be a monetary phenomenon. In reality, money is not what really drives inflation. “It’s fiscal pressure and bankrupt governments,” said Dylan Grice, global strategy research analyst with Société Générale. He was speaking at the CFA Institute’s annual conference in Edinburgh, Scotland, earlier this year. Most of […]

By Vikram Barhat |July 8, 2011

5 min read