The trade confrontation has not derailed U.S. household spending as it is still robust. Because they slowed but did not contract, U.S. imports have been a mild positive rather than a negative for global trades. In addition,…
Highlights Analyses on Indonesia and South Africa are available below. The slowdown in Chinese domestic demand has been the main culprit behind the global trade contraction - not the U.S.-China trade confrontation. China’s…
Dear Client, Owing to BCA’s 40th Annual Investment Conference at the Grand Hyatt in New York City next week, there will be no report on Wednesday, September 25. We will return to our regular publication schedule on Wednesday,…
China’s central bank has about $3 trillion of foreign exchange (FX) reserves that can be used to intervene in the spot market. However, the authorities are highly reluctant to use these reserves. These FX reserves are equal…
The authorities (state banks or the central bank) could hypothetically support the yuan by selling unlimited amounts of dollars in the forward market. Unlike the sale of U.S. dollars from the People’s Bank of China’s…
The situation in Saudi Arabia is still unfolding following the weekend’s drone strikes that removed ~5.7 mm barrels per day from the global oil market. The price of Brent crude oil spiked yesterday, from $61 to $68, and…
Following drone attacks on critical oil infrastructure in the Kingdom of Saudi Arabia (KSA) over the weekend, which removed ~ 5.7mm b/d of output, the U.S. is likely to conduct a limited retaliatory strike. In addition, the U.S. will…
In the immediate aftermath of the drone attacks on Saudi Arabia's massive 7-million-barrel-per-day processing facility at Abqaiq and the Khurais oil fields, which produces close to 2mm b/d, markets will be hanging on every…