European leaders have claimed the currency zone has moved out of crisis umpteen times in the past, only to be proven wrong later. The situation can be compared to a volcano that has lied dormant for a while only to become active all of a sudden, says Michael Hewson of CMC Markets. About a year ago European Central Bank President …
One Man’s Opinion: Will Sequestration Have A Negligible Effect On Global GDP?
The effect of sequester on US GDP is sizable but not huge, and we need to care about it, says Georg Grodzki, credit research head at Legal & General Investment Management in London. Even if the effect is 0.5 percent (on the downside), which is the consensus reading, it’s not an insignificant number. The good news is that the US economy has …
GDP Experiences Shrinkage; Stocks Retreat On Growth Worries; Europe Falls After US Economic Data
[Chart courtesy of MarketWatch.com] US equities finished lower Wednesday, dragging the index averages off five-year highs after the Federal Reserve said economic growth had paused following the release of a government report that showed the US economy contracted in the fourth quarter. The Federal Open Market Committee kept interest rates unchanged at near zero and maintained its aggressive bond-buying program. …