Malaysia: No peer pressure: Why Malaysia won’t join EM rate hikes
While central banks is in several emerging economies such as Turkey and India have raised interest rates amid the recent market turmoil, Malaysia’s Central Bank (Bank Negara) left its overnight policy rate unchanged at 3% for a 16th straight meeting on Wednesday. A majority of analysts expect a hike at some point this year due to rising inflation, although others think Bank Negara’s most recent statement indicates limited worry over the inflation issue and are not expecting the Bank to make any big moves this year.

Spain: Spanish Growth Accelerates as Rajoy Says Six-Year Slump Over
Bloomberg reports that the Spanish economy grew 0.3% in Q4 2013 over the previous quarter, which marked the second consecutive expansion since 2011. However, GDP shrank 1.2% in 2013, after shedding 1.6% in 2012, according to the National Statistics Institute.

United States: Fed slows monthly bond-buying
The Fed announced a USD 10 billion tapering of its monthly bond purchases. The Fed will now purchase USD 65 billion per month, down from the USD 75 billion it had been purchasing. According to the BBC News, the move comes amid turmoil in emerging economies, which are facing strong capital outflows.

Ukraine: US readies financial sanctions against Ukraine
According to Reuters, the US is preparing financial sanctions that could be imposed on Ukrainian officials and protest leaders if violence escalates. A spokesman of the congress claimed that details of the package have not been worked out, but it could be put in place quickly in case of widespread violence.

For latest economic indicators from around the world, please visit us at FocusEconomics.

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