Taking together all of the countries, one would have a view of the global economy. Understanding the global economy and the shifts among countries, businesses can better allocate capital to the areas of the world that are growing. The U.S. currently is the largest economy in the world, now followed by China. Shifts among countries in their global economic ranking are the result of many criteria, including population growth and fiscal and monetary policies. Knowing which part of the world is growing economically and which part is shrinking is extremely important for businesses.
To gauge activity in the global economy, I follow two indicators very closely: how sales at multinational Caterpillar Inc. (NYSE/CAT) are faring; and trade activity in the global economy.Global Economy Indicator #1The chart below plots the percentage change in three months rolling sales at Caterpillar Inc., a large American company. Read More
It has been six years since the global economy and U.S. entered the worst recession since the Great Depression. While many are championing the economic recovery, on closer inspection, it looks like history might repeat itself sooner rather than later.U.S. Economy Grows at Slowest Pace Since WWIIThe rate of growth in the U.S has been. Read More
My Five Stock Market Predictions for 2015Catalysts for Growth in Place for Solid 2015Admittedly, stock market forecasts can mostly be flimsy attempts to predict what irrational investors do in uncertain times. That doesn’t prevent most pundits from being overly optimistic.At the end of 2013, I predicted that the U.S. stock markets. Read More
Global financial crisis 2015: is it really possible? Below you’ll find the answer, as I dive into the global financial crisis causes and what today’s economic events have to say.Global Financial Crisis Explained…It’s only been a few years, but there are already reams and reams of articles and books written about the global. Read More
With 20 central banks indicating they may lower interest rates even further, a world economic slowdown underway, and bellwether copper prices collapsing, U.S. multinational companies (and their stock prices) will not escape the malaise facing the global economy.Central Banks Concerned Regarding Global Economic Slowdown?The. Read More