All around the world, economic activity has been slowing. Acknowledging the disappointing prospects for growth, the Federal Reserve extended its maturity-lengthening bond-purchase program, better known as Operation Twist.
I was recently a guest on TVO’s “The Agenda with Steve Paikin”, discussing my views on the European debt crisis and the global economy. With the current concerns in an ever-challenging environment, I thought you might be interested in this recent interview.
Even though several central banks took actions this week to boost growth, the likelihood is that global growth will remain sluggish for some time. The ECB, the Bank of England and the People’s Bank of China either cut rates or injected liquidity.
As a newly appointed member of the Economic Advisory Committee of the American Bankers Association (ABA)—comprised of twelve chief economists from among the largest commercial banks in North America – I spent the past two days in Washington, D.C.
The triple whammy of a rotten U.S. jobs report, slowing growth in China and India, and the escalating European debt crisis has hit Canada’s economy and financial markets everywhere. Stock market indexes are plunging, and other signs of distress are proliferating. The drop in commodity prices—reflecting weakening global demand—has hit Canada and Australia hard as…
Interest rates for longer-maturity government bonds are finally rising, triggering concern that higher rates could derail the U.S. expansion. The 10-year Treasury yield is currently at about 2.30%. That’s up about 60 basis points since September. Should this continue, Canadian mortgage rates could move off their lows and dampen the housing boom that has already…
Ironically, while many are focussing on the negative impact of high gasoline prices on the U.S. economy, oil production in the U.S. is surging, providing the largest stimulus to growth and job creation since the recession began in 2007.