Doubts over just how soon the Bank of England can raise interest rates have been growing in recent weeks as Britain’s recovery looks in danger, inflation remains stubbornly low and concerns about the euro zone intensify.
How quickly times change. Russia's stock market, unloved for months, last week overtook India to be the best-performing of
the four BRICs. The Moscow stock index jumped 5 percent last week, posting its biggest weekly rise in seven months, bringing
year-to-date gains to 17.5 percent. Fund managers such as Goldman Sach's Jim O'Neill, creator of the BRICs term, are predicting it will lead the group next year too.
Given the ubiquity of BRICs and PIGS, it seems everyone else in the financial and business world is attempting to conjure up catchy acronyms to group economies with similar traits. All with varying degrees of success.
Do capital controls work? After years of telling us that they do not, the IMF and World Bank reluctantly conceded last year they may not be all that bad and indeed in some cases they may actually help keep away some of the speculators who have in recent years been pouring into emerging markets.