The uneven recession in the Eurozone is now coupled with a downturn in the Czech Republic and sharply falling economic activity in Poland, according to the Manufacturers Alliance for Productivity and Innovation’s European
The following is an analysis from Daniel J. Meckstroth, Ph.D., chief economist for the Manufacturers Alliance for Productivity and Innovation (MAPI), regarding the industrial production report for June 2013:
Global Economy, Competitiveness, Foreign Trade, Imports & Exports
When completed, the Transatlantic Trade and Investment Partnership will lift trade between the U.S. and the EU beyond an already elevated level. Could this heightened trade and investment intensity offer a natural hedge to cyclical variation for American (and European) multinationals? In other words, when business sours in the U.S., can American industrial multinationals look to Europe for more receptive markets for exports and/or production? One way to search for a hedge is through countercyclical business conditions on both sides of the Atlantic. Possibilities can be filtered into two broad categories.
If the Suez Canal is closed due to the turmoil in Egypt, there would be an immediate reaction in world stock and oil markets. According to the Energy Information Administration, 3.8 million barrels per day of oil and petroleum product flowed through the Suez Canal in 2011.