In The News

British voters favoring leaving the European Union suggest that the country’s status could be similar to that of Norway and Switzerland. But the United Kingdom, with a population of 65 million, is not Norway or Switzerland, with 5.5 million and 8.5 million people, respectively. To access the EU market, the British would likely join the European Economic Area, like Norway, and could not escape...

An easy monetary policy applied by the US Federal Reserve and other central banks since 2008 to stimulate the economy after the global debt crisis may have contributed to the shale oil boom and bust. The reduced interest rates and borrowing costs may have encouraged speculative behavior among investors searching for high yields. “The increase in debt went hand in hand with a drastic increase in U...

Global fund managers responding to a monthly Bank of America Merrill Lynch survey identify and rank risks that could cause an abrupt and abnormal drop in global markets. Britain’s possible exit from the European Union tops the list for May. Second, an ongoing concern is the risk of devaluation and defaults in China. Another ongoing concern is quantitative failure, “that trillions of dollars...