In August 2023, China’s monthly inflation rate compared to the same month the previous year was 0.1 percent, showing a recent decrease from a peak of 2.8 percent in September 2022. The annual average inflation rate for 2022 in China was 2.0 percent. There are regional variations in inflation rates, with Hebei province experiencing the highest CPI growth as of June 2023, while Guangxi autonomous region reported the lowest. Rural areas have often had slightly higher inflation rates than cities in recent years. The National Bureau of Statistics of China attributes inflation to a surge in recreation and education prices in recent months, while other sectors saw comparatively smaller price increases. Transport prices have decreased recently but had seen significant growth in 2021 and 2022.
The major Asian stock markets had a mixed day today:
The major Asian currency markets had a mixed day today:
The above data was collected around 11.59 EST
Gold increased 5.61 USD/t oz. or 0.29% to 1,929.18
Silver increased 0.147 USD/t. oz or 0.64%% to 23.155
The above data was collected around 12.00 EST
No economic news from last night:
No economic news from today:
European Central Bank (ECB) policymakers are planning to address the issue of excessive liquidity in banks, which amounts to trillions of euros. They may consider increasing reserve requirements as their initial step in combating inflation. This discussion is expected to begin at the ECB’s upcoming meeting in Athens on October 26 or during an autumn retreat for policymakers. Despite raising interest rates multiple times, inflation remains significantly above the ECB’s 2% target. Some policymakers are advocating for an increase in the reserve requirement from the current 1% of customer deposits to a level potentially around 3% or 4%. Additionally, there is debate about reducing the 4.8 trillion euros in debt accumulated by the ECB since 2015, primarily to prevent deflation, which is seen as a more challenging issue to address.
The major Europe stock markets had a negative day today:
The major Europe currency markets had a mixed day today:
The above data was collected around 12.02 EST
The United Auto Workers (UAW) strike against the “Big Three” Detroit automakers (General Motors, Ford, and Stellantis) could have significant economic impacts if it persists, according to economists. The strike has so far impacted only a small portion of the workforce, but if it turns into an all-out strike, it could change things. The August alone saw some 4.1 million labor hours lost this year, the most for a single month since August 2000. Potential pay raises have raised the specter that inflation, which has abated recently from 40-year highs, could be stickier as unions fight for higher ground. The strike could erode American consumers’ strength, which for over a year now has been a critical guardrail against a recession.
US Market Closings:
Canada Market Closings:
Brazil Market Closing:
The oil markets had a mixed day today:
The above data was collected around 12:06 EST on Monday.
Top commodity gainers: Crude Oil (1.48%), Natural Gas (2.74%), Steel (1.71%), and Orange Juice (3.02%)
Top commodity losers: Wheat (-2.33%), Cocoa (-3.51%), Canola (-2.29%), and Rapeseed (-2.36%)
The above data was collected around 12:12 EST on Monday.
Japan 0.705%(-0.6bp), US 2’s 5.06% (+0.027%), US 10’s 4.3285%(+0.65bps); US 30’s 4.41% (+0.0004%), Bunds 2.71% (+4.1bp), France 3.256% (+3.4bp), Italy 4.518% (+5.1bp), Turkey 23.77% (+46bp), Greece 4.173% (+6.2bp), Portugal 3.453% (+3.1bp), Spain 3.782% (+4bp) and UK Gilts 4.389% (+2.6bp).
The above data was collected around 12:18 EST on Monday.