Chicago Business Barometer Tumbles To Nearly Four-Year Low In October

Trading 31 oct 2019 Commentaire »

MNI Indicators released a report on Thursday showing Chicago-area business activity unexpectedly slid further into contraction in the month of October.

The report said the Chicago business barometer tumbled to 43.2 in October from 47.1 in September, with a reading below 50 indicating a contraction in regional manufacturing activity. Economists had expected the index to inch up to 48.0.

With the unexpected decrease, the Chicago business barometer slumped to its lowest level since December of 2015.

The unexpected drop by the headline index came as demand weakened significantly, with the new orders index plunging to its lowest level since March of 2009.

The report said the production index rebounded to 46.8 in October but pointed to a contraction for the fourth consecutive month.

On the inflation front, the prices index dipped to 54.8 but continued to indicate growth, as lower steel prices were offset by upward pressure from tariffs.

When asked about the impact of the Federal Reserve's latest interest rate cuts, a majority of firms said they expect no impact.

Meanwhile, 56.5 percent of firms noted a little negative impact from the government-imposed tariffs and 26 percent indicated a major negative effect.


The material has been provided by InstaForex Company - www.instaforex.com

Eurocoin Indicator Falls For Third Month

Trading 31 oct 2019 Commentaire »

An indicator reflecting the current economic situation in the euro area fell for a third consecutive month in October, survey data from the Bank of Italy and the Centre for Economic Policy Research showed on Thursday.

The Eurocoin indicator dropped to 0.13 from 0.16 in September. In August, the reading was 0.18.

The reading has been falling since hitting a peak of 0.21 in July.

The indicator was affected in particular by the weakness of manufacturing and the resulting pessimism of firms in the sector, the report said.


The material has been provided by InstaForex Company - www.instaforex.com

*Chicago Business Barometer Tumbles To 43.2 In October

Trading 31 oct 2019 Commentaire »

Chicago Business Barometer Tumbles To 43.2 In October


The material has been provided by InstaForex Company - www.instaforex.com

U.S. Personal Income And Spending Growth Matches Estimates In September

Trading 31 oct 2019 Commentaire »

Personal income and spending in the U.S. both rose in line with economist estimates in the month of September, according to a report released by the Commerce Department on Thursday.

The report said personal income increased by 0.3 percent in September after climbing by an upwardly revised 0.5 percent in August.

Economists had expected personal income to rise by 0.3 percent compared to the 0.4 percent increase originally reported for the previous month.

Disposable personal income, or personal income less personal current taxes, also rose by 0.3 percent in September after advancing by 0.6 percent in August.

"Wages and salaries were unchanged in September although, admittedly, that included a small downward adjustment to allow for the impact of the GM strike," said Paul Ashworth, Chief U.S. Economist at Capital Economics.

He added, "Instead, the gains in overall income in August and September were principally due to farm subsidies paid out by the Trump administration to counter the effects of the trade war."

Meanwhile, the Commerce Department said personal spending edged up by 0.2 percent in September, matching the revised uptick seen in August.

Personal spending had been expected to inch up by 0.2 percent compared to the 0.1 percent uptick originally reported for the previous month.

Real spending, which is adjusted to remove price changes, also rose by 0.2 percent for the second consecutive month.

With income rising by slightly more than spending, personal saving as a percentage of disposable personal income climbed to 8.3 percent in September from 8.1 percent in August.

A reading on inflation said to be preferred by the Federal Reserve showed the annual rate of core consumer price growth was unchanged from the previous month at 1.7 percent.

"While the Fed will be happy to see monthly consumption growth holding up for now, officials will be less encouraged by the incoming PCE inflation figures," Ashworth said.


The material has been provided by InstaForex Company - www.instaforex.com

U.S. Weekly Jobless Claims Edge Up To 218,000

Trading 31 oct 2019 Commentaire »

With the more closely watched monthly jobs report looming, the Labor Department released a report on Thursday showing a modest increase in first-time claims for U.S. unemployment benefits in the week ended October 26th.

The report said initial jobless claims rose to 218,000, an increase of 5,000 from the previous week's revised level of 213,000.

Economists had expected jobless claims to inch up to 215,000 from the 212,000 originally reported for the previous week.

Meanwhile, the Labor Department said the less volatile four-week moving average edged down to 214,750, a decrease of 500 from the previous week's revised average of 215,250.

The report said continuing claims, a reading on the number of people receiving ongoing unemployment assistance, crept up by 7,000 to 1.690 million in the week ended October 19th.

The four-week moving average of continuing claims also rose to 1,686,250, an increase of 8,750 from the previous week's revised average of 1,677,500.

On Friday, the Labor Department is scheduled to release its more closely watched report on the employment situation in the month of October.

Employment is expected to rise by 89,000 jobs in October after climbing by 136,000 jobs in September, while the unemployment rate is expected to inch up to 3.6 percent from 3.5 percent.


The material has been provided by InstaForex Company - www.instaforex.com

Italy Inflation Steady In October

Trading 31 oct 2019 Commentaire »

Italy's consumer price inflation remained stable in October, data from the statistical office Istat showed on Thursday.

The consumer price index, or CPI, rose 0.3 percent year-on-year in October, the same rate as seen in September. That was in line with economists' expectation.

The core CPI excluding energy and unprocessed food rose 0.8 percent in October, after a 0.6 percent increase in the previous month.

Prices for miscellaneous goods and services grew 1.7 percent annually in October and those of restaurants and hotels, and education rose by 1.5 percent and 1.3 percent, respectively.

On a monthly basis, consumer prices remained unchanged in October.

The EU measure of harmonized index of consumer prices, or HICP, rose 0.2 percent annually in October, the same as in the previous month That was in line with economists' expectation.

On a month-on-month basis, the HICP increased 0.2 percent in October.


The material has been provided by InstaForex Company - www.instaforex.com

U.S. Personal Income And Spending Rise In Line With Estimates September

Trading 31 oct 2019 Commentaire »

Personal income and spending in the U.S. both rose in line with economist estimates in the month of September, according to a report released by the Commerce Department on Thursday.

The report said personal income increased by 0.3 percent in September after climbing by an upwardly revised 0.5 percent in August.

Economists had expected personal income to rise by 0.3 percent compared to the 0.4 percent increase originally reported for the previous month.

Meanwhile, the Commerce Department said personal spending edged up by 0.2 percent, matching the revised uptick seen in August.

Personal spending had been expected to inch up by 0.2 percent compared to the 0.1 percent uptick originally reported for the previous month.


The material has been provided by InstaForex Company - www.instaforex.com

South Africa Producer Price Inflation Lowest In 8 Months

Trading 31 oct 2019 Commentaire »

South Africa's producer price inflation eased to the lowest level in eight months in September, figures from Statistics South Africa showed on Thursday.

The producer price index climbed 4.1 percent year-on-year in September, following a 4.5 percent rise in August.

The latest inflation was the slowest since January, when it was 4.1 percent.

The main contribution to the inflation came from food products, beverages and tobacco products, metals, machinery, equipment and computing equipment, coke, petroleum, chemical, rubber and plastic products, and paper and printed products.

On a month-on-month basis, producer prices rose 0.2 percent in September.


The material has been provided by InstaForex Company - www.instaforex.com

U.S. Weekly Jobless Claims Rise To 218,000

Trading 31 oct 2019 Commentaire »

With the more closely watched monthly jobs report looming, the Labor Department released a report on Thursday showing a modest increase in first-time claims for U.S. unemployment benefits in the week ended October 26th.

The report said initial jobless claims rose to 218,000, an increase of 5,000 from the previous week's revised level of 213,000.

Economists had expected jobless claims to inch up to 215,000 from the 212,000 originally reported for the previous week.

Meanwhile, the Labor Department said the less volatile four-week moving average edged down to 214,750, a decrease of 500 from the previous week's revised average of 215,250.


The material has been provided by InstaForex Company - www.instaforex.com

Eurozone Q3 GDP Growth Exceeds Expectations

Trading 31 oct 2019 Commentaire »

The euro area economy grew more than expected in the third quarter, despite a global slowdown and uncertainties surrounding Brexit.

Separate data showed that inflation in the region eased to the lowest level in nearly three years in October, but core price growth accelerated, while the jobless rate held steady at the lowest level in more than a decade.

Gross domestic product expanded 0.2 percent sequentially, the same rate as seen in the second quarter, preliminary flash estimate from Eurostat showed Thursday. The economy was forecast to grow 0.1 percent.

On a yearly basis, GDP advanced 1.1 percent, in line with expectations, but slightly slower than the 1.2 percent growth posted a quarter ago. Revised data is due on November 14.

The slightly better-than-expected GDP figure does not alter the fact that the region is expanding at only a very moderate pace, Andrew Kenningham, an economist at Capital Economics, noted.

What's more, forward-looking indicators, along with the deteriorating global backdrop, suggest that it will get perilously close to recession in the coming quarters, the economist added.

The International Monetary Fund forecast the single currency bloc to grow 1.2 percent this year and then to rebound to 1.4 percent next year.

Last week, the outgoing European Central Bank Chief Mario Draghi called for active fiscal policy to support monetary policy in boosting economic growth. He said with fiscal policy, the monetary policy objective will be reached sooner with less side-effects.

Among big-four economies, Germany has not released its official GDP data. The Bundesbank said earlier that the largest euro area economy might have entered a technical recession in the third quarter though a deep recession is not expected.

France logged a 0.3 percent expansion, the same rate as seen in the second quarter. Likewise, Spain expanded at a steady pace of 0.4 percent. Italy grew only 0.1 percent, matching its second quarter growth.

A separate report from Eurostat showed that the jobless rate held steady at the lowest since July 2008. The unemployment rate came in at 7.5 percent in September, unchanged from August.

The number of unemployed increased by 33,000 from August to 12.335 million in September.

Meanwhile, the youth unemployment rate rose to 15.9 percent in September from 15.7 percent in August.

Inflation slowed to 0.7 percent in October following a 0.8 percent in September, flash estimates from Eurostat showed Thursday. The latest inflation rate was the lowest since November 2016, when it was 0.6 percent.

Meanwhile, core inflation, which excludes energy, food, alcohol & tobacco, rose for a second straight month, to 1.1 percent from 1 percent in the previous month.

Inflation has remained away from the ECB's goal of "below, but close to 2 percent" over several months.


The material has been provided by InstaForex Company - www.instaforex.com