The Fed risks triggering “panic and turmoil” in emerging markets if it opts to raise rates and should hold fire until the global economy is on a surer footing, Kaushik Basu warned. Rising uncertainty over growth in China meant a Fed decision to raise its policy rate next week would have negative consequences. Source: FT
GEFIRA provides in-depth and comprehensive analysis of and valuable insight into current events that investors, financial planners and politicians need to know to anticipate the world of tomorrow; it is intended for professional and non-professional readers.
The Gefira bulletin is available in ENGLISH, GERMAN and SPANISH.
Investors in Venezuelan securities are breathing a sigh of relief after the government once again made good on its promise to pay foreign bondholders. The nation, one of the world’s riskiest debtors, said yesterday it was having difficulty wiring a $185 million interest payment that was due Sept. 15. Officials confirmed Thursday that the money was on its way to bondholders. Source Bloomberg
French President Emmanuel Macron signs the controversial labor reform legislation, which sparked mass protests in the country. The reforms would make it easier for companies to hire and fire workers, as well as give them more authority over pay and working conditions. Source: Sputnik
Banks and building societies are to carry out immigration checks on 70m current accounts from January in the biggest extension of Theresa May’s plans to create a “hostile environment” for illegal immigrants in Britain, the Guardian has learned. Source: The Guardian