This week’s edition focuses on the global airline industry, as its operational status serves as a primary indicator of whether the global economy is truly open, or not. On the home front, the major development was President Ramaphosa’s announcement last night of a Cabinet reshuffle. Our analysis is summarised in terms of positives and negatives…
Chinese tech giants lost hundreds of billions of dollars in market capitalisation early this week as the government widened its crackdown on the sector – a move that has unnerved international investors who remember how Beijing last year put the brakes on the planned initial public offering (IPO) for Ant, one of the country’s largest…
An article in the New York Times this week asks whether the US economy is running too hot or too cold as it reboots in the wake of Covid-19. Although the economy is alive with possibilities, inflation is outstripping pay gains for many workers, with the number of those employed far below pre-pandemic levels. Both…
As predicted at the beginning of July, former President Jacob Zuma’s incarceration has unleashed waves of violence that have contributed to government uncertainty and policy volatility. It is no exaggeration to describe all of this as an insurrection – an attempt to create chaos to achieve political purposes, namely the early release of Zuma and…
The biggest news of the week for our South African clients was undoubtedly the fact that the country’s former President, Jacob Zuma, handed himself over to police to begin his 15-month incarceration for contempt of court just before midnight on Wednesday, 7 July. Zuma, who was found guilty of contempt of court for refusing to…
Powered by consumers with extra savings, businesses eager to hire and enormous policy support, the United States’ current economic recovery is billed as being “unlike any in recent history”. According to the Wall Street Journal, businesses and workers are expected to emerge from the downturn with far less permanent damage than occurred after recent recessions,…
According to new research from Bloomberg Economics, a housing bubble is starting to form in many countries worldwide as they ease themselves out of the Covid-19 crisis. The research indicates that New Zealand, Canada and Sweden are the frothiest housing markets, with the UK and the US also ranking high in risk. Bloomberg Economics uses a…
In recent News Flash editions, we have written about the “K-shaped” economic recovery, while today we focus on the sustainability thereof, as well as how governments intend using taxes as an instrument to plug their deficits. New research from Stanlib highlights just how badly the pandemic battered the world economy in 2020, while offering hope…
Following the worldwide loss of 255 million full-time jobs in 2020 — four times more than during the global financial crisis — the International Labour Organization (ILO) warns that we could see a loss of a further 36 million to 130 million jobs worldwide this year. The ILO says that this pain will be unevenly…
