Breakdown: The dismal art of forecasting sterling

October 14, 2016

Most economists agree the pound has further to fall, but there is a wide range of views on how far. Long-term forecasts are an unfortunate necessity, but they are stab in the dark when it comes to a currency that is more in the thrall of politics than economics.

Sterling mayhem gives glimpse into future

October 7, 2016

A flash crash saw the pound briefly plunge below $1.20 in Asia. Ultra-thin liquidity, computer-driven selling, and maybe even an erroneous "fat finger" trade might explain the speed of the slide. But there is nothing unbelievable about the levels to which sterling fell.

Inditex is priced for perfection

December 10, 2015

Shares in the Zara fashion retailer are up some 35 percent this year, against a 7 percent fall for rival H&M. Inditex’s nimble business model and strong double-digit earnings growth explains why. But currency fluctuations could slow its stellar trajectory.

Investors struggle to find true safe havens

August 26, 2015

Boltholes like U.S. and German bonds or the Swiss franc are benefiting less than might be expected amid equity swings and concern over a slowing China. Investors are rightly wary of once-safe assets that have moved erratically of late. The mystery is where they are going instead.

Edward Chancellor: The cost of China’s devaluation

August 17, 2015

Forget about currency wars and global deflation. The true impact of the yuan’s sudden decline will be felt by China’s dysfunctional credit system, where domestic borrowers and foreign lenders believed the currency could only appreciate.

Edward Hadas: Stop knocking the euro

July 22, 2015

Ben Bernanke thinks the single currency is failing. He is not alone. But the former Fed boss is too short term and too financial. The euro zone has tough structural economic problems. The currency is different. Its future is political, and bright.

Review: The virtual bubble of bitcoin

May 15, 2015

The digital currency fits well in the inglorious history of finance. Nathaniel Popper tells the story in “Digital Gold”. Bitcoin’s hot idea, limited supply and uncertain value helped spawn a price explosion. After the bust, the underlying technology may still have a future.

Currency market still scarred by Swiss trauma

January 28, 2015

Brutal swings seen just after the Swiss central bank suddenly abandoned its franc cap have faded. But price signals and perplexing moves suggest the extraordinary gyrations left their mark. Singapore’s surprise easing and continued Swiss official musings will add to the jitters.

Bitcoin is latest victim of disinflation

January 16, 2015

The would-be currency is down 33 pct this year. Bitcoin is a collectible like a painting so psychology matters, and that’s against it in the current climate. Free transactions could end too. The tech may have value, but bitcoin will struggle to regain lost confidence.

Swiss recalibrate currency world by dropping peg

January 15, 2015

The Swiss National Bank could print enough francs to keep the currency stable against the euro but not against the dollar. So it dropped the euro peg in favour of more negative rates and a vague commitment to intervene. The franc rocketed. But it is a less predictable safe-haven.