Economic News

FRANKFURT (Reuters) – Germany’s Social Democrats (SPD) narrowly won Sunday’s national election, with the most likely outcome being a three-way alliance led by either the SPD or Chancellor Angela Merkel’s conservatives.

SYDNEY (Reuters) – Asian shares nudged higher on Monday as risk sentiment turned for the better, though a surge in oil prices to three-year highs could inflame inflation fears and aggravate the recent hawkish turn by some major central banks.

Chinese authorities have told local officials to prepare for a potential demise of heavily indebted property developer Evergrande, WSJ reported

BEIJING (Reuters) – Several local governments in China have set up special custodian accounts for property projects of its most indebted developer, Evergrande, to protect funds earmarked for housing projects from being diverted, media outlet Caixin said.

It’s a busier week ahead, with economic data to give more clues on whether the economic recovery has hit a speed bump. Evergrande and central bank chatter will also influence, however.

U.S mortgage rates saw a modest increase according to Freddie Mac. With FED monetary policy now hinged on economic data, another spike in nonfarm payrolls could push rates back to 3%…

It was a busy week for the majors. While economic data was skewed to the negative, FED monetary policy and easing concerns over an Evergrande default delivered support.

It was a particularly busy week for the markets, with the FOMC policy decision and projections the main event of the week. The FOMC projections revealed a divided committee.

Meanwhile, Treasury yields have moved to multi-week highs.

HONG KONG (Reuters) – China Evergrande Group has missed a dollar bond interest payment deadline, moving closer to a potential default and fuelling worries about a collapse that could send shockwaves through China’s economy and beyond.

LONDON (Reuters) -Britain on Friday vowed to do whatever it takes to resolve a trucker shortage that has closed petrol stations and strained supermarket supply chains to breaking point but the haulage industry cautioned that there were no quick fixes.

Meanwhile, gold remains stuck near $1775 despite weaker dollar.

It’s deadline day for China’s embattled property giant Evergrande, labouring under a $305 billion mountain of debt, to pay its coupon on a dollar bond or career towards default – a prospect that has sent chills through markets.

WASHINGTON (Reuters) -Six former U.S. Treasury secretaries urged congressional leaders to raise the federal debt limit without delay, saying that a default would cause “serious economic and national security harm” and that delay would also be detrimental.

Meanwhile, WTI oil managed to get back above the $71 level.

WASHINGTON (Reuters) – Democrats in the House of Representatives passed a bill on Tuesday to fund the U.S. government through Dec. 3 and suspend the nation’s borrowing limit until the end of 2022, sending it to the Senate where Republicans have vowed to block it.

Meanwhile, gold is trying to settle above the resistance at $1775.

This week was supposed to be all about the so-called ‘dot plot’ and what kind of rate-rise projections U.S. Federal Reserve policymakers might make.

NEW YORK (Reuters) – Wall Street plunged on Monday as fear of contagion from a potential collapse of China’s Evergrande prompted a broad sell-off and sent investors fleeing equities for safety.

NEW YORK (Reuters) – Spreads on 10-year U.S. interest rate swaps over Treasuries hit their widest in more than six months due in part to worries about the potential fallout of Chinese property group Evergrande’s financial troubles to the global economy.