"Retail Sales and Core Retail Sales rose more slowly than expected, reflecting the weakening in household spending, which accounts for a large portion of US GDP. At the same time, the CB Consumer Confidence Index dropped sharply to 88.7, the lowest level in many months, indicating that consumers are becoming more cautious about the economic outlook. The manufacturing sector also continuously sends negative signals, clearly shown through the Richmond Manufacturing Index falling to -15, the weakest level in recent times."
"Meanwhile, the Eurozone shows relative stability amid a global environment still full of uncertainties. Reports from the ECB, including the Economic Bulletin and the Financial Stability Review, indicate that the euro area economy continues to maintain modest growth, with Q3 GDP rising 0.2% thanks to recovery in the services sector and strong digitalization trends. Inflation is moving closer to the 2% target, allowing the ECB to maintain a stable policy stance and avoid the easing pressure faced by the Fed."
EURUSD is recovering as fundamental factors increasingly support the euro while the dollar weakens amid weak US economic data. US retail sales and core retail sales rose more slowly than expected, signalling weakening household spending. The CB Consumer Confidence Index fell to 88.7, and the Richmond Manufacturing Index dropped to -15. Producer prices remain low and the labor market is cooling, boosting odds of a Fed rate cut above 80% and weighing on the dollar. The euro area posts modest growth with Q3 GDP up 0.2%, inflation nearing 2%, strong services recovery, high confidence at 83%, and a resilient banking system.
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]