The chief economist for the IMF, Maurice Obstfeld, said on Tuesday that the current global economic environment can be hard to predict.» Read More
Greece has been tossed on the turbulent sea of global markets for almost two years now – but the bond swap deal secured on Friday should reassure markets about the country’s future, Greek Finance Minister and possible future prime minister Evangelos Venizelos told CNBC.
Greece has pushed through the bond swap offer which is key to its 130 billion ($172 billion) bailout deal with bondholders representing 83.5 percent of the value of its bonds taking part.
The better-than-expected take up of the Greek bond swap offer, announced Friday morning, should help boost markets temporarily, but caution remains, analysts, strategists and economists warned.
For months, the situation in Greece has dominated European markets for days on end as a new deadline approaches.
It’s a fallacy that private creditors to Greece – taking a massive “haircut” on their investment as part of a debt-restructuring deal – are losing out while the official sector’s holdings are protected, Nouriel Roubini, chairman of Roubini Global Economics, wrote in the Financial Times.
Greece has come back to the forefront of the markets’ agenda over concerns about its debt restructuring package, with fears that the troubled euro zone country may finally default on its debt repayments.
Participation in the Greek debt swap deal by private sector creditors, integral to the latest bailout for the stricken country, is unlikely to reach a sufficiently high level to avoid credit default swaps being triggered, James Ashley, senior economist at RBC Capital Markets told CNBC.
Greece's Parliament early Thursday approved new reforms to the country's struggling pension system, the latest move in a flurry of legislative action required to secure new international rescue loans that will stave off a Greek bankruptcy.
The market appears to have given a cautious thumbs up to the latest euro zone bailout solution. In the end, if Greece isn’t going to leave the euro, it will need large cash transfers from the other member countries for some years to come, and the political leadership appears to have accepted that.
The Brookings Institution analyzed the financial data of the world’s largest metropolitan areas and uncovered some interesting findings. Check out which cities were the most productive.
Germany's top court said on Tuesday a parliamentary committee set up to approve urgent action by the euro zone bailout fund was "in large part" unconstitutional, in a ruling that may hamper Berlin's ability to tackle Europe's debt crisis.
Issuing statements which criticize Greek efforts to resolve its debt crisis could “destroy” the latest bailout deal for the embattled Mediterranean country, a key member of the Greek government told CNBC Monday.
Leading economies told Europe it must put up extra money to fight its debt crisis if it wants more help from the rest of the world, piling pressure on Germany to drop its opposition to a bigger European bailout.
One of the challenges investors face today is how to reconcile seemingly conflicting messages coming from different markets. Is Dow 13,000 consistent with a 10 year U.S. Treasury at 2% and gold at almost $1,800? Is $125 Brent oil consistent with cyclically low implied volatility in many market segments, as well as widening CDS spreads for Middle Eastern oil producers?
As investors chase yields by investing in high growth emerging markets, private equity firm Leopard Capital is looking beyond traditional economic powerhouses like China and India, to less talked about frontier markets including Myanmar, Bangladesh and Cambodia based on their future growth potential.
China should accelerate the loosening of capital controls, its central bank said, in a report outlining the path to a freely tradable currency and more open capital markets. The Financial Times reports.
The second Greek bailout deal was finally clinched in the early hours of Tuesday morning, but market reaction has been decidedly mixed so far.
Greece's purported deal with its creditors will only last until a new government takes over following the spring elections, hedge fund manager Dennis Gartman said Tuesday.
The agreement by private sector holders of Greek government debt to take losses of 53.5 percent as part of the 130 billion euros ($172 billion) second bailout will actually see real losses of more than 70 percent, Charles Dallara, managing director of the Institute of International Finance told CNBC.
Japan’s trade deficit surged to a record high in January underscoring the grim outlook for the world’s third largest economy. However, equity strategists believe the weak economic data will compel the Bank of Japan to further expand its asset purchase program, offering a boost to the country’s undervalued stocks.