Mario Draghi’s peerless track record of eliciting the market response he wants remains unblemished after the ECB’s quantitative easing surprised on the upside – at 60 billion euros a month for at least 19 months it will exceed 1 trillion euros.
from Anatole Kaletsky:
The 40 percent plunge in oil prices since July, when Brent crude peaked at $115 a barrel, is almost certainly good news for the world economy; but it is surely a crippling blow for oil producers. Oil prices below $70 certainly spell trouble for U.S. and Canadian shale and tar-sand producers and also for oil-exporting countries such as Venezuela, Nigeria, Mexico and Russia that depend on inflated oil revenues to finance government spending or pay foreign debts. On the other hand, the implications of lower oil prices for the biggest U.S. and European oil companies are more ambiguous and could even be positive.
from John Lloyd:
Israel had grown accustomed to an absence of terrorist attacks in its cities: so the bloody murder of four worshippers and wounding of eight more at a Jerusalem synagogue on Tuesday was a shock. It illuminates the fragile, fractious state of the country, including the fact that the cabinet is riven, and may collapse soon.
from Ian Bremmer:
Plummeting oil prices — down more than 25 percent since June to three-year lows — should relieve pressure on consumers at the pump. But is it pushing oil-exporting regimes past the breaking point?
from Global Investing:
Russia's equity market has always been cheap, argues USAA's Wasif Latif, but at present levels it is just too cheap to ignore. Russia's economic decline, driven by not only falling oil prices, its main source of income, but also Western sanctions over its intervention in Ukraine has caused a major sell-off that Latif and other asset managers believe is an overshoot. This has brought Russia's benchmark dollar-denominated RTS stock index to its lowest level since March and before that, a level not seen since Sept. 2009.
from The Great Debate:
When the United States began bombing Islamic State and Jabhat al-Nusra positions in Syria last month, it entered into a conflict that has been grinding on for more than three years. Here are five major questions America needs to answer as the fighting unfolds in the weeks ahead:
from The Great Debate:
Who is the world’s No. 3 arms exporter, after the United States and Russia? Surprise. It is Germany, a country bound by law to supply only allies and peaceable folks like (neutral) Switzerland or Sweden. Off limits are “areas of tension” -- bad neighborhoods that actually need the stuff.