Archive

BRICS Without Straw

• Beijing’s domineering drive to enlarge the BRICS group as a counterweight to the G7 is rooted primarily in the CCP’s need to internationally promote its autocratic governance model. That aids the domestic justification while, paradoxically, Xi Jinping’s policies turn China increasingly inward.

By Alastair Newton

UAE M3 money supply 17.72% y-o-y in Jun-23

- UAE M3 money supply grew at a year-on-year rate of 17.72% in Jun-23, reflecting a slowdown compared to the previous period but still significantly above the one-year average.
- The growth rate exceeding the long-run average by 11.08 percentage points indicates a potential structural change in the economy's liquidity dynamics.

Oil: On the Other Hand…

• A 15% increase in the price of Brent since early July re-energised the oil bulls. However, forces continue pulling in both directions, suggesting that a price in the US$80-90pb range at year-end is still more likely than USD100.

By Alastair Newton

UAE PMI 55.7 in Jul-23

- The UAE's PMI for July 2023 stood at 55.7, indicating ongoing expansion in economic activity, albeit at a slightly slower pace compared to the previous month.
- This reading represents the lowest level recorded since May 2023 and falls marginally below the one-year average, signaling a small deviation from the usual level of economic activity.