Economies

WASHINGTON—The U.S.–Mexico–Canada trade pact (USMCA) has strong labor rules, which makes the deal an important milestone for international trade. The new deal is “a significant accomplishment” for President Donald Trump, according to Edward Alden, a senior fellow at the Council on Fore­­­ign Relations. In an article originally published in Politico Magazine, Alden slams critics who […]

The best-performing stock market in Asia for much of this year has lost that title in less than a month. As the S&P BSE Sensex Index sank into a correction Oct. 5, posting its biggest weekly plunge in more than two years, investors began paying up to hedge against more declines. The cost of bearish […]

OSLO—Norway’s government will later this month propose how its $1 trillion sovereign wealth fund should be run in decades to come after a state-appointed body recommended the fund be managed independently. The fund funnels the government revenues from Norway’s oil and gas production and invests what the government is not using in its fiscal budget […]

Israel needs to open its food industry to foreign imports more aggressively to break the grip of the sector’s biggest companies and lower costs for consumers, the country’s antitrust chief said. Power in the country’s food making business is “much too concentrated” in the hands of five firms, including Strauss Group Ltd., Nestle SA’s Osem […]

NEW YORK—The U.S. transportation sector, which many see as a proxy indicator of the economy’s health, has retreated 3.1 percent from its Sept. 14 record, hinting to some analysts that the longest bull market on record has entered its late stages. Railways, freight carriers, and package deliverers get less attention than heavy-hitting momentum stocks like […]

DUBAI—Bahraini legislators approved a draft law on Oct. 7 that would see value-added tax (VAT) imposed for the first time in the kingdom, state news agency BNA reported. The House of Representatives approved a Gulf Arab agreement to introduce VAT after a royal decree ordered parliament to hold an extraordinary session on Oct. 7, BNA […]

KABUL—Afghan officials have signed contracts for two major mining projects in northern Afghanistan, pushing ahead with plans to develop the country’s mineral reserves but drawing criticism over the involvement of a former minister in the project. The deals were signed in Washington on Oct. 5 with mining and investment group Centar, and its operating company […]

WASHINGTON—For a solid decade after the collapse of Lehman Brothers touched off a global financial crisis, there was good reason to think the U.S. economy remained broken, from skepticism about the health of the labor market to tepid economic growth and the moribund rate of interest paid on U.S. Treasury bonds. In a heartbeat, that […]

WASHINGTON—The number of Americans filing for unemployment benefits fell to a near 49-year low last week, pointing to sustained labor market strength, which should continue to underpin economic growth. The labor market, which is viewed as being near or at full employment, is steadily boosting wage growth, which could help to support consumer spending as […]

ROME—The Italian government on Oct. 4 dismissed concerns that the European Commission would reject its plan to raise deficit spending next year and signaled that it would not backtrack, even under market pressure. After a selloff hit Italian bonds on Oct. 2, the government made up of the anti-establishment 5-Star Movement and the right-wing League […]

SAN FRANCISCO/NEW YORK—Federal Reserve policymakers continue to signal that gradual U.S. interest rate hikes will be enough to tame inflation despite a fast-growing economy, even as a jump in longer-term borrowing costs suggests investors may be increasingly nervous about that rosy scenario. Yields on U.S. Treasuries jumped on Oct. 3, lifted by data showing strength […]

NEW YORK—Interest rates on U.S. 30-year fixed-rate mortgages edged down as longer-dated bond yields had retreated on curve-flattening trades following the Federal Reserve’s widely expected rate increase last week, Freddie Mac said on Oct. 4. Borrowing costs on 30-year mortgages, the most widely held home loan type in the United States, averaged 4.71 percent in […]

WASHINGTON—Tax reform, deregulation, and a booming economy are making the United States a safe haven for global investors. McKinsey’s September 2018 Global Survey of more than 1,100 executives from various regions and industries around the globe found that the United States offers the best environment for business growth. Respondents to the survey expressed declining optimism on the global economy, especially […]

Canada’s new trade agreement with the United States and Mexico—the USMCA, which replaces NAFTA—is not just a good deal because of the removal of uncertainty for Canadian business.

U.S. holiday sales will increase from 4.3 percent to 4.8 percent, getting a boost from a strong economy, according to a forecast from a leading retail industry group. The National Retail Federation (NRF) said holiday sales growth will be higher than an average increase of 3.9 percent over the past five years but slower than the […]

WASHINGTON—President Donald Trump is set to double down on his trade war with China, after closing a major front of the country’s international trade battles. Negotiators agreed late on Sept. 30 to sign a new trade accord, the U.S.–Mexico–Canada Agreement (USMCA), which will replace the North American Free Trade Agreement (NAFTA). The historic win, as Trump puts […]

WASHINGTON—The United States, Canada, and Mexico agreed to sign a new trade deal to “terminate and replace” the 24-year-old North American Free Trade Agreement (NAFTA). President Donald Trump says the new agreement will transform North America into a “manufacturing powerhouse.” The new trilateral trade pact will be named the U.S.–Mexico–Canada Agreement, or USMCA. Trump called the deal “historic news for our […]

General Electric Co. ousted Chief Executive Officer John Flannery in a surprise move on Oct. 1 replacing him with outsider and board member Larry Culp, and said it would take a roughly $23 billion charge to write off goodwill in its power division, primarily from a large 2015 acquisition. The struggling energy, health, and transportation […]

WASHINGTON—Canadian dairy farmers have panned the renegotiated trade pact between Canada, the United States, and Mexico, saying the new deal will undercut the industry by limiting exports and opening up the market to more American products. Dairy Farmers of Canada issued a terse statement almost immediately after the 11th−hour agreement was announced late on Sept. 30, […]

TOKYO— The Canadian dollar and the Mexican peso rose and Japanese shares hit 27-year highs on Oct. 1 after the United States and Canada reached a framework deal to update the North American Free Trade Agreement. A Canadian source confirmed the two countries reached a deal, with Canada agreeing to a side-letter arrangement effectively capping […]