[ad_1]
(Bloomberg) — Inflation remains high in the United States and the euro zone, supporting central bankers in both regions that it is too early to start cutting interest rates.
Most Read Articles on Bloomberg
The Fed’s recommended measure of underlying inflation rose by the most in a year in January, but price pressures in the euro zone did not ease as much as expected in February.
Elsewhere, Chinese factory activity contracted for the fifth consecutive month in February, suggesting weak demand remains a stumbling block for the world’s second-largest economy.
Below are some of the graphs published this week in Bloomberg on the latest developments in the global economy, geopolitics and markets.
we
The so-called core personal consumption expenditure price index, which excludes volatile food and energy factors, rose 0.4% from December, the highest in a year. After a strong year-end sales season, inflation-adjusted personal consumption spending fell for the first time in five months.
Consumer sentiment slumped in late February due to the current economic outlook and deteriorating outlook, a reversal from the start of the month when optimism increased. The intra-month decline was the largest since March 2020.
Europe
Eurozone inflation slowed less than expected in February, buoying European Central Bank officials who are unwilling to rush into cutting interest rates. Policymakers are optimistic that inflation is on track to reach the 2% target, but remain concerned that rising wages and labor costs risk prolonging price pressures. ing.
Russia plans to cut daily diesel exports from major Western ports by 11% in March after refineries cut back on crude processing in the wake of Ukrainian drone attacks. Russia has stopped sending diesel to Europe due to Western energy sanctions. But lower imports from one of the world’s top diesel exporters could put further pressure on a European market reeling from Red Sea shipping disruptions and maintenance at the region’s refineries.
Asia
The official manufacturing purchasing managers index fell slightly to 49.1 last month, according to the National Bureau of Statistics. A measure of non-manufacturing activity rose, reinforcing signs of an uneven recovery in the world’s second-largest economy.
India is chipping away at China’s lead in electronics exports in some key markets as manufacturers diversify their supply chains from factories around the world to other parts of Asia, a new study finds. . The impact has been most pronounced in the UK and the US, where geopolitical tensions with China have increased in recent years.
South Korea has set a new record for the world’s lowest birth rate, even as the effects of an aging population have a major impact on the health system, social welfare provision and economic growth. The number of births also fell by 7.7% to 230,000, a record low for comparable data for the country, which has a population of approximately 50 million.
South Korean government officials say North Korea has shipped containers to Russia that can hold millions of shells, allowing President Vladimir Putin to continue attacking Ukraine as ammunition stocks dwindle in Kiev. said. In return, the official said, Russia provides North Korea with food, raw materials and parts used in weapons production, which helps stabilize prices for Kim Jong Un’s necessities.
emerging market
Indonesia plans to propose a higher budget deficit next year to fund new policies by the next president, which could include Prabowo Subianto’s free lunch program. The plan has raised concerns about Indonesia’s fiscal health.
world
Breaking into the top 1% of Americans is becoming increasingly difficult. To join the richest class in the world’s largest economy, you now need at least $5.8 million, according to research by Knight Frank, an increase of almost 15% from about 12 months ago. Monaco holds the top spot with a world record of $12.8 million, while Luxembourg and Switzerland require more than $8 million to qualify.
Israel’s central bank opposed further interest rate cuts, fearing that inflation could accelerate again amid the ongoing war with Hamas. At its first policy meeting since July, Nigeria’s central bank announced a huge interest rate hike to tackle runaway inflation and halt a currency collapse. Hungary accelerated the pace of rate cuts after inflation slowed more than expected, while New Zealand and the Dominican Republic kept rates unchanged.
–With assistance from Chandra Asmara, Jon Herskovitz, Zheping Huang, Sam Kim, Colum Murphy, Anup Roy, Augusta Saraiva, Grace Sihombing, Zoe Schneeweiss, Mark Schroers, and Ben Stupples.
Most Read Articles on Bloomberg Businessweek
©2024 Bloomberg LP
[ad_2]
Source link
