Sat, Oct 25, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

SEB: US holds the key to economic recovery in 2014-15

Tuesday, August 27, 2013

Benedicte Gravrand, Opalesque Geneva:

Global acceleration in Gross Domestic Product (GDP) will be easier in the next couple of years, thanks to weaker fiscal headwinds and stronger monetary policy tailwinds, says SEB in its latest Outlook report. SEB is a leading Nordic financial services group.

The group expects the US to achieve an annual growth of around 3.5% in 2014-2015, the Eurozone a "sluggish" growth of 0.8% in 2014 and 1.7% in 2015 (compared to -0.5% so far this year), and the OECD’s 34 countries to go from 1.2% this year to 2.4% next year and 2.8% in 2015. "Yet major cyclical differences in growth between countries and regions will persist, posing challenges to international economic policy cooperation," the report says.

SEB assumes that inflation will remain low and stable and that "the low interest rate policies of central banks will be underpinned by macroprudential policies," hence the positive scenario.

The group believes that the U.S. Federal Reserve will not raise its key interest rate until the second half of 2015. It will decide, as the economic and financial outlook is more positive, to begin tapering its QE programme as early as next month. The Bank of England is expected to keep its interest rate at 0.50% for the next two years, while the European Central Bank may cut its own key interest rate to 0.25% at the end of this year and remain at this level for two years. As for the Bank ......................

To view our full article Click here

Banner

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Commodities - Oil wreaking havoc on small-cap energy stocks sliding 36%[more]

    From Bloomberg.com: Owning almost anything in the U.S. stock market has been a losing proposition since September. Owning smaller energy companies has been a catastrophe. Hercules Offshore Inc. and Resolute Energy Corp. are among 19 oil-and-gas equities in the Russell 2000 Index that lost more than

  2. Investing - Hedge funds favor equity long/short, Strategic bond managers hedge against further high yield sell-off[more]

    Hedge funds favor equity long/short From Securitieslendingtimes.com: Equity long/short strategies will generate good returns for hedge funds in the future, according to a panel at this year’s Risk Management Association Conference on Securities Lending in Naples, Florida. Panellists Sand

  3. Legal - Ex-hedge fund analyst weeps as judge hands down 5 year sentence, Former Columbus investment manager Steven P. Moore indicted on theft charges, SEBI confirms ban for Hong Kong hedge fund, SEC announces enforcement action against compliance officer[more]

    Ex-hedge fund analyst weeps as judge hands down 5 year sentence From Hereisthecity.com: An ex-hedge fund analyst was sentenced to 5 years in prison for his role in insider-trading scheme. The New York Post reports that former hedge fund analyst Matthew Teeple was sentenced Thursday to fiv

  4. Goldman in talks to acquire IndexIQ[more]

    From Bloomberg.com: Can Goldman Sachs put ETF investors on a liquid diet? Goldman is in talks to acquire IndexIQ, Reuters has reported. Index IQ is a small exchange-traded-fund firm known mostly for products that replicate hedge fund strategies, called "liquid alternative" ETFs. While IndexIQ has 11

  5. Other Voices: CALPERS dilemma should be a warning to hedge funds wanting institutional investors[more]

    From Ian Hamilton, founder of IDS Group. A quick comment on the CALPERS’ disinvestment from the hedge fund market and the jitters it is causing. Pension Funds should not be sheep and follow CALPERS’ decision as the issues that CALPERS has with hedge fund investments are in many ways unique t