Prices have been on an upward trajectory in 2021, with oil leading the pack. Factors such as increased demand facing reduced supply led to crude prices jumping nearly 45 percent during the first half of the year. Will it hit the milestone of $100 per barrel soon? Some experts predict it will, while others hold more reserved expectations.
Emerging markets appeal to investors because of their unrealized potential. As a group, they have performed well, even during crises. The pandemic has influenced this investment opportunity by rendering some EM countries more promising than others. Careful examination and cautious selection of the likely best performers are recommended.
Sixty years ago, China committed to leapfrogging its economy in a comprehensive reform initiative, the Great Leap Forward. Today, the country is bearing the fruits of those measures as it vies with the US for its title of the world’s most relevant country. In the midst of its Second Great Leap Forward, will China grab the coveted prize?
Nonperforming assets weigh down any bank but are particularly burdensome for those in emerging market economies. South Korea, in response to the Asian Financial Crisis of 1997, took steps that provide a blueprint for banks facing different circumstances but similar challenges today.
For the world’s economy, 2021 hasn’t yet brought a break from 2020; COVID-19 remains dominant. Although all banking systems are vulnerable to upheaval, the situations for those in emerging markets are more tenuous for several reasons. S&P Global Ratings examined the three major risks facing a sample of 15 EM countries, including likely deterioration in asset quality, geopolitical and domestic policy uncertainty and vulnerability to abrupt changes in investor sentiment.
China’s Silk Road was for centuries an invaluable network of trade routes connecting Eastern and Western Eurasia. Now, in the 21st century, it has been resurrected in the form of China’s Belt and Road Initiative. Despite suspicions about the motives behind the ambitious project, no one would deny the magnitude of China’s sweeping plan for infrastructure and economic development in more than 150 Eurasia countries. But can it pull it off?
The oil price affects all of us, so its movements are a popular target of speculation. So far in 2019, the oil price has been tracking upward, and oil-market watchers are asking themselves if it could hit $100 per barrel soon. The definitive answer remains elusive, as the multiple and at times conflicting elements that determine the price of oil are in a word: complicated. Stay tuned as OPEC meets in June.
President Jair Bolsonaro assumed Brazil’s highest political office on January 1, 2019. From mid-2016 to the end of 2018, a team of experts worked diligently to improve Brazil’s integration with the global economy in such areas as relations with international organizations, domestic framework for officially supported export credits and trade policy. Their initiatives provide the new administration with a strong path to prosperity through reduction of lingering barriers to international inclusion.
In 2017 Russia enjoyed a refreshing return to economic growth and general optimism—until November, when a GDP contraction took analysts by surprise. The question is, was the setback a minor bump in the road on the nation’s path to sustained recovery, or was it a signal that Russia has fallen back into recession after a good but temporary run?
Russia’s economy suffered some major setbacks in recent years, especially as a result of low oil prices, slow growth and sanctions. The country’s equity-market performance slumped in response to the unfavourable macroeconomic and political conditions, but in 2017 it turned upbeat as investors flocked back to take advantage of emerging opportunities, creating an environment conducive to further business growth and prosperity for 2018.