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 in the United Kingdom. Growing financial stress has exposed the difficulties that global central banks face in ... READ MORE >
inflation
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. The series has been closely watched recently as an additional gauge for inflation. On a year-over-year basis, the producer inflation rate was 8.5%, which will ... READ MORE >
Manufacturing slows in September as economy edges closer to contraction
The Institute for Supply Management's purchasing managers' index for manufacturing activities dipped to 50.9 in September, its lowest level since May 2020, amid an economic slowdown in the United States as well as globally. Inflation and a tighter monetary policy by central banks have pushed the global ... 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% ... 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, according to data released Wednesday by the National Association of Realtors. On a year-ago basis, pending sales fell by a whopping 22.6%, continuing to signal more room ... READ MORE >
Consumer confidence and core investment grow despite recession fear
American consumers and private businesses showed improved confidence in the economy despite recession concerns, according to economic data released on Tuesday. The data reaffirmed our forecast of a solid economic rebound toward the end of the year, pushing our recession call to next year. The ... READ MORE >
RSM US Supply Chain Index back to normal for second straight month
The RSM US Supply Chain Index improved to 0.19 standard deviations above neutral in August as inventories and industrial capacity utilization continued to rebound. That marked the second month in a row of supply chain efficiency after nearly three years of being underwater. While it remains too early ... READ MORE >
Earnings call roundup: Space companies
Even as space and intelligence companies grappled with a tight labor market and inflation in the second quarter, they still capitalized on vertical integration efforts and successful launch test phases to remain competitive, according to recent earnings calls. Executives said they were seeking to ... READ MORE >
Producer prices ease as energy costs fall
Prices paid to domestic producers deflated for the second month in a row as energy prices continued to fall and food prices remained unchanged. August's producer inflation index for final demand fell by 0.1% from July, according to data released Wednesday by the Bureau of Labor Statistics. On a ... READ MORE >
The dollar’s reign will continue amid a global flight to safety
The U.S. dollar is on a tear, increasing in value against its traditional trading partners as well as against the Chinese renminbi. A combination of factors is fueling the surge, including rising interest rate differentials, a global move to the safe haven of the dollar and an escalation of ... READ MORE >