Gold Vault Opens in China as Bullion Goes From West to East

A gold vault that can store 2,000 metric tons, double China’s projected consumption this year, opened in Shanghai this month as owner Malca-Amit Global Ltd. seeks to benefit from rising demand in Asia’s largest economy. The facility is the biggest for the Hong Kong-based company, and it can also store diamonds, jewelry and art, Joshua Rotbart, […]

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BOJ Struggles to Convince on 2% as Abenomics Shine Fades

Half a year after Bank of Japan Governor Haruhiko Kuroda unleashed record monetary easing, economists see the bank failing to meet its inflation target, underscoring the case for stronger steps to revive the economy. While the median estimate of BOJ board members released last week showed the bank expects consumer prices to rise 1.9 percent in the 2015 fiscal […]

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Fed Seen Avoiding Historic Loss by Holding Mortgage Debt

“The Federal Reserve can avoid unprecedented losses by never selling mortgage-backed securities from its record $3.84 trillion balance sheet, according to updated estimates by Fed economists in Washington. The Fed every month is purchasing $85 billion in Treasuries and mortgage-backed securities in a program aimed at fueling economic growth and combating unemployment, which was 7.2 percent in September.”   […]

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Central Banks Drop Tightening Talk as Easy Money Goes On

The Bank of Canada’s dropping of language about the need for future interest-rate increases and today’s decisions by central banks in Norway, Sweden and the Philippines to leave their rates on hold unite them with counterparts in reinforcing rather than retracting loose monetary policy. The Federal Reserve delayed a pullback in asset purchases, while emerging markets from Hungary to Chile cut […]

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RBA’s Lowe Says Low Rates, Weaker Currency to Help Revive Growth

Australia’s record-low interest rates, weaker currency and improving sentiment should help revive growth in industries outside resources, central bank Deputy Governor Philip Lowe said. “A pick-up in non-mining investment is an important part of the story in the return of the Australian economy to trend growth,” Lowe said in the text of a speech to be delivered inMelbourne today. “Our […]

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Yuan Gains for Sixth Day as Central Bank Sets Record Fixing

China’s yuan advanced for a sixth day, the longest winning streak since May, after the central bank strengthened the currency’s reference rate to a record. The government called for “unrelenting” implementation of its economic policies and reforms to consolidate the nation’s recovery from a slowdown, according to a State Council statement released over the weekend. Asia’s largest […]

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IMF Sees Business-Loan Losses of EU250 Billion in EU Banks

“Banks in Spain, Italy and Portugal face about 250 billion euros ($338 billion) in potential losses on their business loans over the next two years, the International Monetary Fund said. About one-fifth of combined corporate loans is at risk of default in the three economies, which are forecast to contract this year, according to the […]

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A U.S. Default Seen as Catastrophe Dwarfing Lehman’s Fall

“Anyone who remembers the collapse of Lehman Brothers Holdings Inc. little more than five years ago knows what a global financial disaster is. A U.S. government default, just weeks away if Congress fails to raise the debt ceiling as it now threatens to do, will be an economic calamity like none the world has ever […]

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First U.S. Shutdown in 17 Years Imminent With No Talks

“Republicans and Democrats say they don’t want to close the government, though neither side is budging from their positions. House Republicans, led by Speaker John Boehner, want to delay President Barack Obama’s Affordable Care Act for a year and make other changes to the law. Democrats, led by Obama, say that won’t happen. Obama will […]

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Bailed-Out Nations Get Another Four Years of Merkel

“Southern Europeans are facing four more years of Angela Merkel whether they like it or not. Majorities of 82 percent in Spain, 65 percent in Portugal and 58 percent in Italy repudiate the German leader’s handling of the euro area’s debt crisis, blaming her for drastic cuts in social services, recession and record unemployment, according […]

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