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In this exclusive series, we cover on negative rates and its fallacies and implications on global economy. Two fundamental ideas underlying this series are (1) the world may have moved from a positive carry to a negative carry and (2) negative rates are contradictory.

Negative Rates Series

Bank of Japan likely to lower rates further into negative territory in June and H2 2016

Feb 23, 2016 09:12 am UTC| Commentary

The Bank of Japan in January adopted negative interest rates. It introduced a three-tier interest rate system that splits the Bank of Japans balance of current account in three parts and applies different interest rates on...

Negative Rates Series

Negative rates addiction, confusion and absurdities series: vaults in fashion

Feb 22, 2016 11:24 am UTC| Commentary Central Banks

As central banks around the world embrace negative rates, fear among public is moving up regarding the issue. Last week, newspapers from Japan reported that people are looking to store or park money elsewhere. Some are...

Negative Rates Series

Currency War Series

CHF value justifies further SNB action?

Feb 19, 2016 14:41 pm UTC| Commentary Central Banks

Despite the turmoil in the global equity markets, the Swiss Franc has remained on a weakening trend since the start of the year. The temporary strength seen in early February on volatility and Fed re-pricing is unlikely to...

Negative Rates Series

Japan machinery orders: More bad news for Mr. Kuroda

Feb 17, 2016 11:41 am UTC| Commentary

Bank of Japan (BOJ) governor Haruhiko Kuroda might be having worst of times in his tenure as the governor, since good news for him are so scarce these days. Since yesterday, Yen has remained quite well bid, raising the...

Negative Rates Series

Japanese economy back in contraction zone

Feb 15, 2016 05:46 am UTC| Commentary Economy

2015 didnt end well for Japan and BOJ too. According to latest estimate released Japans economy shrank in final quarter of 2015 and more than it was expected. AQs per latest data, Japans GDP shrank by 0.4% in fourth...

Negative Rates Series

FED hike aftermath series: probability of negative rates from FED is on the rise

Feb 11, 2016 08:37 am UTC| Commentary

Addicted to negative. Bets in financial markets are slowly creeping up that FED will be following Bank of Japan (BOJ), European Central Bank (ECB), and Swiss National Bank (SNB) to follow into the territory of negative...

Negative Rates Series

Currency War Series

SNB unlikely to cut rates further

Dec 21, 2015 07:08 am UTC| Commentary

Since EUR/CHF stepped up into higher range in July/August, it has been trading around 1.07 to 1.10, which leaves USD/CHF determined by EUR/USD. After the ECB meeting, SNB also held off from easing. It is still...

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Economy

USITC to Review Impact of Revoking China’s PNTR Status, Potentially Raising Tariffs on Chinese Imports

The U.S. International Trade Commission (USITC) announced Thursday that it will investigate the economic impact of revoking Chinas Permanent Normal Trade Relations (PNTR) status, a move that could significantly increase...

Ecuador Raises Tariffs on Colombian Imports to 50% Amid Border Security Dispute

Ecuador will raise tariffs on Colombian imports to 50% starting March 1, escalating a growing trade dispute between the two neighboring countries. The decision, announced by Ecuadors government on Thursday, deepens...

Oil Prices Steady as US-Iran Nuclear Talks and Rising Crude Inventories Shape Market Outlook

Oil prices held steady during Asian trading on Thursday as investors closely monitored the third round of U.S.-Iran nuclear talks, a key event that could influence the near-term direction of global crude markets. Brent...

Asian Stocks Rise on Nvidia Earnings Boost; Yen Weakens as BOJ Rate Outlook Clouds

Asian stock markets climbed on Thursday after strong Nvidia earnings eased concerns about AI spending and rising costs, supporting a renewed risk-on mood across global markets. Investor sentiment improved as the chipmaker...

Bank of Korea Holds Interest Rate at 2.50% as Growth Outlook Improves Amid AI Chip Boom

The Bank of Korea (BOK) left its benchmark interest rate unchanged at 2.50% on Thursday, a widely expected decision that signals continued caution as policymakers assess economic conditions. The move reflects growing...

Politics

ICE Hiring Surge Raises Vetting Concerns Amid Rapid Expansion

U.S. Immigration and Customs Enforcement (ICE) is facing increased scrutiny as it works to process background checks during a historic hiring surge tied to President Donald Trumps immigration enforcement agenda. An...

Melania Trump to Chair UN Security Council Meeting as U.S. Assumes Presidency

First Lady Melania Trump will chair a United Nations Security Council meeting on Monday as the United States assumes the councils rotating monthly presidency, according to the White House. The session, titled Children,...

U.S. Plans 4,500 Monthly Refugee Admissions for White South Africans Amid Policy Debate

The United States is aiming to process up to 4,500 refugee applications per month from white South Africans, according to a January 27 U.S. State Department contracting document. The ambitious target significantly exceeds...

UK Government Agrees to Release Documents on Peter Mandelson Appointment Amid Epstein Scandal

The UK government has agreed on a framework with police and the Intelligence and Security Committee (ISC) regarding the release of documents tied to the late 2024 appointment of former U.S. ambassador Peter Mandelson. The...

UN Rapporteur Francesca Albanese Condemns “Toxic” Attacks Amid Calls for Resignation

Francesca Albanese, the United Nations Special Rapporteur on human rights in the occupied Palestinian territories, has denounced what she described as toxic and personally damaging attacks following calls from several...

Science

SpaceX Pivots Toward Moon City as Musk Reframes Long-Term Space Vision

SpaceX CEO Elon Musk has revealed a significant shift in the companys near-term space exploration strategy, announcing that SpaceX is now prioritizing the development of a self-growing city on the Moon rather than focusing...

SpaceX Prioritizes Moon Mission Before Mars as Starship Development Accelerates

Elon Musks SpaceX is shifting its near-term space exploration strategy, choosing to prioritize a return to the Moon before pursuing missions to Mars, according to a recent Wall Street Journal report citing sources familiar...

NASA and SpaceX Target Crew-11 Undocking From ISS Amid Medical Concern

NASA has confirmed that the agency, in coordination with SpaceX, is targeting no earlier than 5 p.m. Eastern Time (2200 GMT) on Wednesday, January 14, for the undocking of the SpaceX Crew-11 mission from the International...

Neuralink Plans High-Volume Brain Implant Production and Fully Automated Surgery by 2026

Elon Musks brain-computer interface company Neuralink is preparing for a major expansion, announcing plans to begin high-volume production of its brain implant devices and transition to a fully automated surgical procedure...

Jared Isaacman Confirmed as NASA Administrator, Becomes 15th Leader of U.S. Space Agency

The U.S. Senate has officially confirmed billionaire private astronaut Jared Isaacman as the new NASA administrator, making him the 15th leader in the agencys history. The confirmation, which took place on Wednesday, marks...

Technology

Samsung and SK Hynix Shares Hit Record Highs as Nvidia Earnings Boost AI Chip Demand

Samsung Electronics and SK Hynix shares surged to record highs on Thursday after Nvidia reported stronger-than-expected quarterly earnings, reinforcing confidence in sustained artificial intelligence chip demand. The rally...

OpenAI Hires Former Meta and Apple AI Leader Ruomin Pang Amid Intensifying AI Talent War

OpenAI has reportedly hired Ruomin Pang, a prominent artificial intelligence researcher who most recently worked at Meta Platforms (NASDAQ: META) and previously led Apples AI models team. The move, first reported by The...

Amazon’s $50B OpenAI Investment Tied to AGI Milestone and IPO Plans

Amazon (NASDAQ: AMZN) is reportedly preparing to invest up to $50 billion in OpenAI, with the final commitment dependent on the artificial intelligence company achieving a major artificial general intelligence (AGI)...

Snowflake Forecasts Strong Fiscal 2027 Revenue Growth as Enterprise AI Demand Surges

Snowflake projected fiscal 2027 product revenue above Wall Street expectations, highlighting strong enterprise demand for artificial intelligence and cloud-based data analytics solutions. The cloud data platform provider...

Pentagon Weighs Supply Chain Risk Designation for Anthropic Over Claude AI Use

The U.S. Department of Defense has asked Boeing Co (NYSE: BA) and Lockheed Martin Corporation (NYSE: LMT) to assess their reliance on Anthropics Claude artificial intelligence model, according to a report from Axios citing...
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