econintersect .com

FREE NEWSLETTER: Econintersect sends a nightly newsletter highlighting news events of the day, and providing a summary of new articles posted on the website. Econintersect will not sell or pass your email address to others per our privacy policy. You can cancel this subscription at any time by selecting the unsubscribing link in the footer of each email.

posted on 21 June 2016

Early Headlines: Asia Stocks Mostly Up, Yen Weakens, Senate Nixes Gun Ban For Terrorists, US Attitudes On Refugees, Remain Or Stay EU Will Change, India Changes Laws For Foreign Investment And More

Written by

Early Bird Headlines 21 June 2016

Econintersect: Here are some of the headlines we found to help you start your day. For more headlines see our afternoon feature for GEI members, What We Read Today, which has many more headlines and a number of article discussions to keep you abreast of what we have found interesting.



  • Asia extends gains; Nikkei reverses losses as yen weakens (CNBC) Japanese markets traded higher on Tuesday as most of Asia extended Monday's global rally on easing Brexit concerns and gains in oil prices. The benchmark Nikkei 225 traded up 0.51% by mid-morning Asia time, retracing its early losses of more than 1 percent on the back of fresh strength in the yen. Elsewhere stocks were generally higher, except for Shanghai.




  • 'Brexit' likely to fail but EU will change (USA Today) Even if the Leave vote falls short, the Brexit debate and the fact that a substantial minority of British voters think the country would be better off on its own has already changed the dynamic in the EU. Britain, and perhaps a fair number of other European countries, no longer accept - if they ever did - the goals of full-fledged political and economic integration in a European superstate that is implied in the EU treaties. At the very least, there is likely to be an evolution toward a two-speed Europe, with those countries that choose to remain in the euro proceeding toward greater integration, and other countries receding back to a looser affiliation with a common market.

  • Did negative rates in Europe trigger massive cash hoarding? (Brookings) For a long time, economists believed that negative interest rates - charging savers to keep money in the bank instead of paying them interest - were close to impossible. If confronted with negative rates, people and institutions would hoard currency, economists reasoned. After all, earning zero interest on $500 in currency is better than paying a fee to keep $500 in the bank. Recently, however, central banks in Denmark, Sweden, Switzerland, the euro zone and Japan cut their rates below zero, testing those long-standing beliefs. As seen in the graph below, there has been negligible effect on cash as a result of negative rates. Brookings offers some possible reasons:

The most obvious reason that households haven't begun to hoard cash is that, in most countries, negative rates haven't affected most ordinary customers - just the banks themselves. That's in part because of the way central banks have structured negative rates and in part because of business decisions that banks have made to shield their retail customers. Another reason is that rates are only slightly negative - the most negative rate is the Swiss National Bank's minus 0.75 percent on bank reserves. That may not be enough to justify the costs involved in storing large amounts of cash - buying safes, arranging insurance and so on.



  • Hoping Jobs for India Follow, Modi Clears Investors' Path (The New York Times, CNBC) The Indian government announced sweeping changes on Monday to throw open its economy to foreign investment, providing a new path for global titans like Apple and Ikea to capitalize on the country's growth, the fastest among the major emerging markets.



  • Australian Paralympian robbed at gunpoint in Rio (BBC News) An Australian athlete who has competed in six Paralympic Games has been robbed at gunpoint in the Brazilian city of Rio de Janeiro. Liesl Tesch said a man brandishing a gun pushed her off her bicycle and stole it on Sunday. Australian Paralympic team physiotherapist Sarah Ross also lost her bicycle in the attack. The Australian Olympic Committee has said Rio must improve security in the city in the aftermath of the robbery.


  • Venezuela starts validating recall referendum signatures (BBC News) Venezuelan opposition leader Henrique Capriles has said that more than 70,000 people who endorsed a petition for a referendum to oust President Nicolas Maduro had their signatures validated on Monday. Just under 200,000 valid signatures are needed for the process to go ahead. Mr Maduro was elected in April 2013 and his term runs until 2019. The opposition blames his socialist policies for rampant inflation and the shortage of food and basic goods. Mr Capriles said the massive presence of voters on the first day of the validation process was a clear sign that Venezuelans wanted a change of government.

>>>>> Scroll down to view and make comments <<<<<<

Click here for Historical News Post Listing

Make a Comment

Econintersect wants your comments, data and opinion on the articles posted. You can also comment using Facebook directly using he comment block below.

Econintersect Contributors

Print this page or create a PDF file of this page
Print Friendly and PDF

The growing use of ad blocking software is creating a shortfall in covering our fixed expenses. Please consider a donation to Econintersect to allow continuing output of quality and balanced financial and economic news and analysis.

Keep up with economic news using our dynamic economic newspapers with the largest international coverage on the internet
Asia / Pacific
Middle East / Africa
USA Government

 navigate econintersect .com


Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day


Asia / Pacific
Middle East / Africa
USA Government

RSS Feeds / Social Media

Combined Econintersect Feed

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution



  Top Economics Site Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2018 Econintersect LLC - all rights reserved