The Japanese economy is growing at less than 1 percent while annual inflation rate is hovering around a paltry 1.2 percent. The Bank of Japan wants to go all in, which explains the BoJ’s latest decision to launch an open-ended QE, said Mark Kiesel, chief investment officer of global credit at Pacific Investment Management Co. The central bank will continue …
One Man’s Opinion: Will Capital Expenditures Rise In Sectors That Can Take Advantage Of Cheap US Energy Prices?
The US economy is held back by slow growth in exports amid other struggling major economies, said Russ Koesterich, chief investment strategist at BlackRock Inc. For much of the last 20 years, the US consumers have been the engine of growth, even when global economies didn’t do particularly well. The US consumer is doing okay, but the economy is still …
One Man’s Opinion: Will The US Economy Face Headwinds From Europe And China?
Major US indexes witnessed a decline this week despite domestic data showing a firming-up of the economy as US markets are in the middle of a technical correction, said Mohamed El-Erian, chief economic advisor at Allianz and the former CEO at PIMCO. Also, stock fundamentals are fairly weak compared to prices. Risky assets are likely to come under pressure, and …
One Man’s Opinion: Can The US Economy Grow At A Robust Pace Despite Global Weakness?
The International Monetary Fund recently slashed global growth forecast amid slowdown in Europe and weakness in Japan. But lackluster global growth is unlikely to snuff-out the US bright spot, said Rick Reider, chief investment officer for fixed-income at BlackRock Inc. The US economy is moving in a pretty robust fashion with energy and technology driving growth. A bottomed out housing …
One Man’s Opinion: Will The Economy See Stronger Wage Pressures Going Forward?
The latest non-farm payrolls report showed the US added 248,000 jobs in September. Yet the lack of wage inflation has been a real puzzle and the only missing-piece in the jobs report, said Alan Krueger, a Princeton University economics professor and former chairman of the White House Council of Economic Advisers. The economy is likely to witness higher wage growth …
One Man’s Opinion: Will Europe Be Likely To See Strong Growth Next Year?
The latest upward revision of second-quarter US GDP to 4.6 percent indicates an annualized growth rate of 3 percent or more in the third quarter, said David Kelly, chief global strategist at JP Morgan Funds. After years of disappointing growth, finally the US recovery seems to gather a lot of steam, he observed. Asked to explain the recent stock sell-off …