Topic: Capital Economics Ltd.

Top galleries, list articles, quizzes

Government shutdown: Will those who like government least miss it most?

The mail will still go through, as will Social Security payments, veterans benefits, and military pay. Federal employees will still direct plane traffic, inspect food, and prosecute crime. By its own estimates, the federal government represents about 8 percent of the United States economy, so the economic impact of a long government shutdown would eventually affect just about everybody. Even in the short term, some groups will notice. Ironically, some of those who will be affected most are those who like government least. Here's a look at four such groups:
Portugal bailout: Who's Europe rescuing, and by how much?

Portugal announced today that it would seek a bailout from the European Union, becoming the fourth country in western Europe to request a financial rescue package. Here's a look at the financial rescue packages for Iceland, Portugal, Ireland, Greece, and Spain.

All Content

Is Canada about to face US-style housing meltdown?

Skyrocketing home prices in Canada, particularly in cities like Toronto, are fueling concerns that Canadians are overspending as they assume – as the US did – that real estate prices can only go up.
The New Economy
Unemployment rate hits three-year low. Hooray? No, boo!

The unemployment rate for April was 8.1 percent, the lowest rate since President Obama took office. But the unemployment rate is falling for all the wrong reasons. 
The New Economy
Job growth slows in March. Is it payback?

The disappointing March employment report suggests job growth is coming back in sync with economic expansion after unusually strong job growth in the winter. 
The New Economy
US adds 227,000 jobs. But are they well-paid?

The US economy is creating more jobs at slightly higher pay. But the averages can be deceiving.
30-year mortgage rate falls to 3.9 percent

30-year mortgage rate falls again to near-record lows. Fixed 30-year mortgage rates have stayed below 4 percent for 13 weeks in a row.
Housing market showing signs of turnaround

Last year was so dismal, home sales almost certainly have to go up in 2012. If home prices stabilize later this year, as many analysts expect, the housing market will be set for a turnaround.
Forget about preventing default in Greece, control it, says Europe

Though Athens is still taking steps to contain the damage, most of Europe is skeptical that Greece will dodge a default.
Best time for a Greek default? It's now.

Greek default now would prove less of a shock to stocks, especially in buoyant emerging markets and the US, which is off to its best start in 15 years. But Greek default probably would be first of several sovereign defaults.
Obama plan to lower mortgage payments could help, but how much?

President Obama unveiled his plan to cut mortgage payments for 'responsible homeowners' in trouble. But the housing crisis is so massive that no one program can solve it, experts say.
Greece, private investors struggle to agree on high-stake debt deal

The Greek government and private investors are locked in negotiations over how much Greek debt private investors will write off.
Home sales up. Is the housing market finally turning around?

Sales of previously owned homes rose in November, gaining for the second month in a row. And home-sales volume is up 12 percent from a year ago, says the National Association of Realtors.
Stock market caps its best week in two years

The Dow Jones industrial average dropped 0.61 of a point to close at 12,019.42 but ended the week up 7 percent, the largest weekly gain since July 2009.
US turns up pressure on Egypt's military, urges transfer to civilian rule

The White House released a statement Friday that calls for a speedy transfer to ‘just and inclusive’ civilian rule in Egypt. The statement came as tens of thousands of protesters gathered in Cairo’s Tahrir Square.
Deflation risks rising: Nightmare scenario

Deflation: If forecasts are correct, several factors could present a dangerous combination the Fed might not allow to brew for very long.
Unemployment benefits, trade data point to improvement

Unemployment benefits claims dipped by 1,000, just below expectations for unemployment benefits claims. Trade balance report confirms US avoided third-quarter recession.
The New Economy
If jobs report is positive, why is Wall Street so gloomy?

US created 103,000 jobs, better than expected. But Wall Street's outlook is gloomier than Main Street's. Here's why.
Unemployment benefits applications fall but joblessness remains high

Unemployment benefits: Fewer people applied for unemployment benefits last week, though some of that was due to technical factors. And the economy grew slightly more in the April-June quarter than previously estimated.
Markets rally after eurozone rescue mission by world's central banks

Five central banks take steps to funnel cash to eurozone commercial banks by year's end. Their aim? Avert a funding freeze – and perhaps another global banking crisis tied to bad debt.
Late mortgage payments on the rise

Late mortgage payments increased slightly in the second quarter. The percentage of Americans making late mortgage payments is nearly eight times the normal rate.
European stocks rise for second day

European stocks shrug off local debt woes, while traders look forward to Bernanke speech. But European stocks are expected to remain volatile.
Oil stocks up as battle rages on in Libya

Oil stocks are back up Tuesday, amid confusion about the situation in Tripoli. After falling yesterday, oil stocks rose today in Europe, and prices for benchmark oil for October delivery were up to nearly $86 in Paris in the afternoon.
Mortgage rates plunge, but little boost for housing

Mortgage rates reached a national average of 4.45 percent for a fixed, 30-year loan. But the near-record lows in mortgage rates are not boosting home sales.
The New Economy
Companies hiring: Jobs surge in private sector

April's surprisingly strong jobs report shows companies hiring at the fastest pace in five years. Can the momentum continue?
US economy slows sharply

Growth for the first quarter stood at 1.8 percent, down from 3.1 percent in the last three months of 2010.
Gas prices, bad weather slow the economy

Gas prices, which are still rising, curbed consumer spending during the first quarter of the year. Bad weather, along with high gas prices, may be responsible for the 1.8 percent annual growth rate of the economy.