The U.S. Treasury yield curve has lost its forecasting power and investors wanting to divine the possibility of a U.S. recession should turn to a little-known equation from the 1970s.
Commerzbank AG raised its forecasts for the euro against the dollar through December 2013, saying the projected weakness in the 17-nation currency will come later than it previously forecast.
Manufacturing growth from China to the euro region and the U.S. slowed in May, adding to signs that momentum is weakening in a global economy facing headwinds from rising commodity costs and regional shocks.
Growth in Europe’s services and manufacturing industries unexpectedly accelerated in July as concern over the sovereign-debt crisis eased and an increase in global trade spurred exports.
Germany’s drive to mold the rest of Europe into its economic image may come at a cost for the country’s export machine.
German exports unexpectedly fell in May, indicating the euro area’s sovereign debt crisis is disrupting a recovery in the region’s largest economy.
German industrial production rose in December, adding to signs that Europe’s largest economy is gathering pace.
German investor confidence jumped to a 21-month high in March after the European Central Bank flooded financial markets with cash and the sovereign debt crisis showed signs of abating.
German investor confidence jumped more than economists forecast to a seven-month high in December on speculation Europe’s largest economy will gather momentum next year.
The dollar rose for a third day against the yen before a U.S. report that economists said will show employers stepped up hiring last month, pointing to a recovery in the world’s biggest economy.
"Companies are still worried about future developments in the euro zone and this inhibits their willingness to invest."
- Ralph Solveen on Jul 07, 2013
Commerzbank’s Solveen Says Euro to Weaken
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