Global Economy

Gilles Sabrie | LightRocket | Getty Images
Abandoned buildings are shown at the Caofeidian Environmental Industries Park in Caofeidian, China.

So now they start easing credit. Five years after an epic spree of reckless mortgage lending in the U.S. sank the global financial system, U.S. banks are healing relatively well, thanks to aggressive rate slashing and money printing early on by U.S. central bankers. That’s a big reason the U.S. recovery, though halting, shows signs …

Japan’s monetary stimulus

The Bank of Japan is raising questions about Prime Minister Shinzo Abe’s fiscal policies and whether the country’s economy can turn around.

Japan’s Abe delays tax hike

Japanese Prime Minister Shinzo Abe announced a delay in a sales-tax hike after the country unexpectedly fell into recession.

Ma Ping | Bloomberg | Getty Images
Shinzo Abe, Japan's prime minister, gestures as he speaks during a news conference at the prime minister's official residence in Tokyo, Japan, on Tuesday, Nov. 18, 2014.

Japan is looking for new ideas to fix its badly broken economy. Amid fresh signs of economic contraction, Japanese Prime Minister Shinzo Abe on Tuesday called for an early election and put on hold a scheduled sales tax increase. The news came a day after data showed the world’s third-biggest economy unexpectedly shrank for a …

Issei Kato | Reuters
Passers-by are reflected on an electronic board showing Japan's Nikkei stock average and the Japanese yen's exchange rate against the U.S. dollar (top) at a brokerage in Tokyo, November 17, 2014.

For those seeking a new reason to bet against the Japanese yen, here’s one: a triple-dip recession in Japan. Japan has slipped back into recession, with the economy shrinking 1.6 percent in the third quarter, surprising economists who forecast it would grow 2 percent. The takeaway? Double down on the dollar versus the yen. How …

Japan returns to recession

Japan unexpectedly slipped back into recession, despite massive efforts to stimulate its economy.

Issei Kato | Reuters

The shocker overnight wasn’t that the Halliburton-Baker Hughes deal went through. It was Japan GDP going negative—for the second straight quarter. I don’t know what you call GDP coming in negative 1.6 percent for the quarter when the consensus was growth of 2.1 percent, but it certainly is a shock. That, following a 7.1 percent …

Akio Kon | Bloomberg | Getty Images

Japan’s economy is in technical recession after gross domestic product (GDP) shrank in the third quarter, defying expectations for growth and paving the way for Prime Minister Shinzo Abe to delay a second sales tax hike. The world’s third-largest economy contracted an annualized 1.6 percent in the July-September quarter, data showed on Monday, compared with …

U.S. & China reach climate deal

Are the world’s two largest economies, the U.S. and China, entering a new phase of friendlier relations? And what might that mean for business?

U.S. and China reach trade deal

The U.S. and China reached an agreement to drop tariffs on $1 trillion worth of technology products and some well-known companies could feel the impact.

Andrey Rudakov | Bloomberg | Getty Images

If oil prices stay where they are now, Russia’s economy could be in serious trouble and could face recession in the coming year, analysts warn. Sergei Guriev, a former advisor to the Russian government, told CNBC that, should oil prices stay at their near-record lows of around $82 a barrel, Russia, which is basing its …

Obama looks to improve ties at APEC summit

President is looking to improve global economic ties at this year’s Asia-Pacific Economic Cooperation summit.

Ahmed Ismail | Anadolu Agency | Getty Images
Egyptian women are seen as they buy vegetables in an open-air marketplace in Cairo, Egypt on September 23, 2014.

A year ago, Egypt’s economy had been crushed by political turmoil. The Arab Spring had culminated in a military takeover and the installation of the current president, Abdel Fattah Al-Sisi. There were curfews and scenes of violence on the streets of Cairo. In the words of one Egyptian businessman, “everyone was looking to send wire …

Lucas Jackson | Reuters
Traders on the floor of the New York Stock Exchange.

Friday’s stock surge provides yet another reminder that when it comes to moving the market, there’s nothing like a little old-fashioned money printing. What waits on the other side—asset bubbles, inflation, the prospects for still greater wealth disparity—remains, of course, an issue for another day. The important thing is that the market wants what the …

Lucas Jackson | Reuters
Traders work on the floor of the New York Stock Exchange.

The double upside whammy in Japan has implications for global stocks. The Bank of Japan announced additional purchases of government bonds, but the real market mover was the announcement that the country’s Government Pension Investment Fund would put half its assets in stocks and cut its holdings of government bonds by a third. And we …