Canada will release data after CPI
Canada inflation is moderating In the third quarter, the economy will be influenced by retail demand, home construction, and factory output. The Federal Reserve’s July policy meeting will release minutes, with investors monitoring potential hikes. Retail sales are expected to rise, and new-home construction may rise due to limited inventory. Manufacturing production is expected to…
China construction and infrastructure slowed by bad weather
China’s official data predicts moderate growth in industrial output, retail sales, and fixed-asset investment in July. However, real estate investment may be lowered due to potential default and falling housing sales. Heavy rain and floods slowed construction and infrastructure projects, lowering economic activity. Beijing has announced incremental growth measures but has avoided monetary and fiscal…
S&P500 has become more richly valued this years
As the second-quarter earnings season concludes, S&P 500 businesses are surpassing analysts’ profit projections at the best rate in nearly two years, while sales beats have dropped to the lowest since early 2020. However, investors may be less tolerant if corporations fail to deliver earnings later this year. Refinitiv IBES data predicted a 3.8% drop…
Oil gain its power on CPI latest data
Stocks rose on July’s 0.2% Consumer Price Inflation statistics, but volatile energy components are inflecting again, potentially affecting Fed policy and investor portfolios. Since June, headline CPI has plummeted from 8.9% to 8.9%, a four-decade high. Year-over-year inflation rose to 3.2%, with energy being a net contributor. Short-term charts of crude oil, natural gas, and…
China credit demand are weakened
The central bank cut its benchmark lending rates by 10 basis points in June, marking the first cut in 10 months. This year, analysts expect more slight cuts as consumers and firms are unwilling to borrow. Chinese families and private enterprises are saving more and borrowing less, potentially leading to a balance sheet recession. Local…
China bank loans and credit measure is falling
China’s new bank loans and credit measures fell in July, down 89% from June and below experts’ expectations. The People’s Bank of China reported that Chinese banks extended 345.9 billion yuan ($47.80 billion) in new loans, down 89% from June. This comes after record lending in the first half to boost consumption and investment. China’s…
Annual Inflation still remain on Brazil Central Bank’s range
Brazil’s IPCA index of consumer prices climbed more than predicted in July, with annual inflation reaching 3.99%. The central bank began a monetary easing cycle earlier this month, holding its benchmark interest rate at 13.75% for nearly a year. However, experts don’t anticipate the central bank to modify its rate decreases. The jump in Brazilian…
European stock was affected by US inflation
The US consumer price index rose moderately in July, but European stock indexes dipped and Wall Street futures were flat. The consumer price index gained 0.2%, the same as in June, reducing the likelihood of a Federal Reserve rate hike next month. San Francisco Federal Reserve Bank President Mary Daly said more work was needed…