A tale of two tails: Cross credit ratings and cash holdings

post image

Market participants in the money markets are aware that credit rating agencies (CRAs) provide frequently independent credit rating evaluations, i.e., a measure of long-term fundamental credit strength of issuers based on both public and private information, which issuers agree to share with CRAs. For many years, the information content of CRAs has drawn a lotRead more

A warning to the Bank of England’s Mark Carney

post image

Economist Dr Jon Seaton has a warning for the Governor of the Bank of England Mark Carney… Dear Mr Carney – have you forgotten the Phillips curve? Recent employment rates now match the low levels of the early 1970s, so with very low interest rates, rising wage inflation and low productivity is it any wonderRead more

David T Llewellyn: 10 myths in the Brexit debate

On June 23rd the British electorate will make one of the most momentous decisions to face the UK in several generations: whether or not to formally leave the EU (BREXIT). It will have momentous implications in several areas: the growth potential of the economy; trade relationships and volumes; foreign direct investment in the economy; theRead more

Brexit: A View from East Asia

Viewing the Brexit debate from East Asia provides an interesting perspective into the international influence enjoyed by both the UK and the EU. From the perspective of China, Japan, and South Korea, both the UK and the EU remain an attractive market: the UK as one of the most liberalised economies in the world; andRead more

Brexit and the trade debate

For people who want to read an article on UK, EU and Canadian trade that actually has some substance, I would strongly Simon Nixon’s piece in today’s Times. This explains clearly why a ‘Free Trade Area’ such as the old EFTA, or today’s NAFTA, is not synonymous with Free Trade. FTAs have no tariffs betweenRead more