Both top-line and core inflation remain hot, sticky and elevated, which implies another rate increase of 75 basis points at the Fed’s November meeting. … READ MORE >
Inflation
RSM UK Financial Conditions Index implies rising risk of instability
The RSM UK Financial Conditions Index is warning of a dramatic increase in credit risk that, along with the depreciation of sterling, has the potential to derail commercial activity. … READ MORE >
Producer prices rebound, keeping pressure on Fed to raise rates
The producer price index rose by 0.4% in September after falling for two straight months, the Bureau of Labor Statistics reported on Wednesday. … READ MORE >
Canada’s job market shows little sign of slowing
Canada’s economy in September reversed the slowing labour market of the summer, adding 21,100 jobs while unemployment fell to 5.2%, according to government data released Friday. … READ MORE >
U.S. jobs report: Hiring slows as another 75-basis-point rate increase looms
The U.S. economy is proving far more resilient in the face of sustained pricing pressures than otherwise thought a short time ago. … READ MORE >
Job openings fall as rate hikes take effect
In a sign that the chronically tight labor market may be easing, job openings plunged in August amid a slowdown in overall demand. … READ MORE >
Spending grows, even with higher-than-expected inflation
Despite a sharp drop in energy prices, August’s personal consumption expenditures price index—the Federal Reserve’s key gauge for inflation—rose by 0.3% after falling by 0.1% in July. The price increases ate into spending, bringing spending growth from a 0.4% increase in dollar terms to only a 0.1% gain on inflation-adjusted … … READ MORE >
New jobless claims fall to lowest level since April amid tight labor market
New claims for unemployment benefits fell by a sharp 16,000 last week to 193,000 on a seasonally adjusted basis, the fewest since April. … READ MORE >
Pending home sales fall to their lowest level since April 2020
Pending home sales in the United States fell by 2% in August, the third straight monthly decline amid a steep rise in mortgage rates. … READ MORE >
Confusion has its cost: RSM UK Financial Conditions Index shows growing drag
Financial conditions are tightening noticeably as credit spreads widen, all of which will constrain overall economic activity. … READ MORE >