- In one line:Unrealistic spending plans mean the next government will borrow more and raise taxes.
Rob Wood (Chief UK Economist)UK
- In one line:Colder weather deters shoppers but overall GDP will still jump in Q2.
Rob Wood (Chief UK Economist)UK
- In one line: Imminent interest rate cuts boost consumers’ confidence.
Rob Wood (Chief UK Economist)UK
- Interest rate rules monitored by the FOMC suggest rates should already have been reduced to 4%.
- Policy rules are sensitive to the assumed neutral rate, but also to unemployment, which will rise further.
- The latest readings for a raft of leading indicators suggest that lower housing inflation is here to stay.
Ian Shepherdson (Chief Economist, Chairman and Founder)US
- Colombia’s and Argentina’s economies are recovering, amid persistent challenges and uncertainty.
- Agriculture is driving economic growth in Colombia, but construction and commerce are struggling.
- Fiscal consolidation has improved Argentina’s balance sheet but raises concerns about social impact.
Andrés Abadía (Chief LatAm Economist)Latin America
- Malaysia’s advance GDP growth print for Q2 was much stronger than consensus, at 5.8%...
- ... As construction activity picked up and stronger external demand boosted manufacturing growth.
- We still see GDP growth in 2024 at 5.2%, higher than the government’s forecast of 4-to -5%.
Moorthy Krshnan (Senior Asia Economist)Emerging Asia
- The summary document from China’s Third Plenum hints at further short-term growth support.
- The reform strategy prioritizes manufacturing and high-tech development.
- But bold reforms to fill the demand hole left by the tanking property sector seem unlikely.
Duncan WrigleyChina+
- This week sees a raft of business surveys for July; we expect increases across the board.
- Political uncertainty in France is a threat, but the unclear outcome of the elections removes tail risks...
- ...German industrial surveys were too weak in June, given early signs from hard data; they will rebound.
Claus Vistesen (Chief Eurozone Economist)Eurozone
- Cooler weather in June led to a 1.2% month-to-month fall in retail sales volumes.
- We think the ONS data exaggerate the drop in retail sales because surveys suggest a stronger reading.
- The new government will likely borrow £10B-to-£20B a year more and raise taxes to fund more spending.
Rob Wood (Chief UK Economist)UK
In one line: "September is wide open”, apparently.
Claus Vistesen (Chief Eurozone Economist)Global
In one line: "September is wide open”, apparently.
Claus Vistesen (Chief Eurozone Economist)Eurozone
Claims boosted by auto plant shutdowns and Hurricane Beryl, but the underlying trend is rising.
Ian Shepherdson (Chief Economist, Chairman and Founder)US
In one line: No signal of a cut in September; we look for such a signal at the press conference.
Claus Vistesen (Chief Eurozone Economist)Global
In one line: No signal of a cut in September; we look for such a signal at the press conference.
Claus Vistesen (Chief Eurozone Economist)Eurozone
- In one line: The labour market is easing making an August rate cut a very close call.
Rob Wood (Chief UK Economist)UK
- In one line: House prices defy high interest rates to rise strongly in May.
Rob Wood (Chief UK Economist)UK
- In one line: Erratic hotel prices drive June inflation surprise, but this is too strong for the MPC to cut in August.
Rob Wood (Chief UK Economist)UK
In one line: Construction fell back in Q2, after a decent Q1.
Claus Vistesen (Chief Eurozone Economist)Eurozone
Base effects dominate Malaysian trade figures in June
Moorthy Krshnan (Senior Asia Economist)Emerging Asia
