The government of Brazil’s interim president Michel Temer said on Wednesday it would propose to lawmakers a constitutional amendment to cap public spending increases for at least 10 years.
Increasingly likely Sterling would drop further in the event of a Leave vote, warns Bank of England
The Bank of England has warned that uncertainty about the EU referendum is the largest immediate risk facing global financial markets. The bank said there were risks of adverse spillovers to the global economy from the 23 June vote and it was increasingly likely that sterling would fall further - perhaps sharply - in the event of a leave vote, the Bank added.
Brazil is considering an emergency loan to aid, as many have called it, the broken state of Rio de Janeiro, according to two senior federal government officials. News reports said the federal loan would be shared with Rio Grande do Sul, and Minas Gerais states, where employees and pension beneficiaries are not getting paid.
Canada became the first observer country to enter into a strategic partnership with the Pacific Alliance. Chrystia Freeland, minister of International trade and ministers of the four countries of the alliance—Chile, Colombia, Mexico and Peru—signed a joint declaration today in Mexico City.
Argentina released inflation figures for the first time since December last year, when newly elected president Mauricio Macri suspended the publication of economic data and intervened the official stats office, Indec, following long standing claims of manipulation by his predecessor.
Argentine president Mauricio Macri said Mercosur needs a greater integration dynamics and defended the idea that the Atlantic regional block country members work to reach agreements with countries of the Pacific Alliance.
If the United Kingdom votes to leave the EU next week, the move could ultimately lead to the bloc's disintegration, Germany's foreign minister has warned. Frank-Walter Steinmeier was speaking near Berlin after talks with his French counterpart, Jean-Marc Ayrault.
United States Federal Reserve in a unanimous vote kept interest rates unchanged on Wednesday and signaled that it will assess labor market conditions, inflation expectations and financial and international developments before deciding on future actions. The U.S. central bank also lowered its economic growth forecasts for 2016 and 2017 and indicated it would be less aggressive in tightening monetary policy after the end of this year.
Britain’s Caribbean Overseas Territories could suffer significantly if it votes to leave the European Union in the June 23 referendum, according to a report released in London.
Adidas will be opening its first factory in Germany in more than 30 years is one of the most visible examples of global brands bringing manufacturing home because of rising labor costs in Asia. Adidas’s 50,000 square-foot factory, in the Bavarian town of Ansbach, will rely on robots and customized automation to produce 500,000 pairs of athletic shoes a year—well below 1% of Adidas’s total annual production of 300 million pairs—when full production starts in 2017.