(Bloomberg) — Price pressures continue to build in developed countries and emerging markets that include those in Latin America, where there are limits to what central bank rate hikes can achieve.
In the U.S., economists are adjusting their inflation forecasts higher and trimming consumer spending and growth projections. A similar trend is playing out in the U.K. as supply chain disruptions hinder factory output.
Here are some of the charts that appeared on Bloomberg this week on the latest developments in the global economy:
World
Natural gas prices are undergoing a historic surge, and it’s bad news for everyone from ceramic makers in China to customers of patisseries in Paris.
Port congestion is worsening during one of the calendar year’s two peak seasons for global shipping demand.
U.S.
The rapid spread of the Covid-19 delta variant, higher inflation and persistent supply challenges are prompting economists to downgrade U.S. growth prospects for the remainder of the year. At the same time, economists raised estimates for the closely followed consumer price index for each quarter through the middle of 2022.
Job openings rose to a fresh record high in July, illustrating the lingering staffing shortages that are making it challenging for businesses to meet demand. After shedding millions of workers from payrolls last year, the rapid snapback in economic activity has left many businesses severely short-staffed.
Europe
The U.K. economy barely grew in July, suggesting the recovery from the coronavirus recession is rapidly leveling off as consumer spending weakens and supply disruptions hamper production.
The European Central Bank’s new staff forecasts showed a stronger near-term outlook for prices and growth in the euro area, though still insufficient to fulfill its mandate. Inflation will average only 1.5% in 2023, below its 2% target.
Europe is heading for a bruising battle over austerity as governments set out their positions on how to address huge debt loads and help their economies work past the deep Covid-19 recession.
Asia
Despite the disruption of the pandemic and political protests of recent years, Hong Kong’s economic growth is expected to catch up with rival financial hub Singapore’s this year for the first time since 2008.
Emerging Markets
When it comes to raising interest rates to cool off pandemic inflation, Latin America’s central banks have been near the front of the global pack. They’re also among the worst-equipped for that task.
Russia’s international reserves jumped to a record $618 billion, boosted by a $17.5 billion inflow from the International Monetary Fund’s global issue of its reserve currency. Amid Western sanctions, President Vladimir Putin has made boosting savings a major priority, controlling spending and salting away revenue from oil exports.
TORONTO – Strength in the base metal and technology sectors helped Canada’s main stock index gain almost 100 points on Friday, while U.S. stock markets also climbed higher.
The S&P/TSX composite index closed up 93.51 points at 23,568.65.
In New York, the Dow Jones industrial average was up 297.01 points at 41,393.78. The S&P 500 index was up 30.26 points at 5,626.02, while the Nasdaq composite was up 114.30 points at 17,683.98.
The Canadian dollar traded for 73.61 cents US compared with 73.58 cents US on Thursday.
The October crude oil contract was down 32 cents at US$68.65 per barrel and the October natural gas contract was down five cents at US$2.31 per mmBTU.
The December gold contract was up US$30.10 at US$2,610.70 an ounce and the December copper contract was up four cents US$4.24 a pound.
This report by The Canadian Press was first published Sept. 13, 2024.
OTTAWA – Statistics Canada says wholesale sales, excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain, rose 0.4 per cent to $82.7 billion in July.
The increase came as sales in the miscellaneous subsector gained three per cent to reach $10.5 billion in July, helped by strength in the agriculture supplies industry group, which rose 9.2 per cent.
The food, beverage and tobacco subsector added 1.7 per cent to total $15 billion in July.
The personal and household goods subsector fell 2.5 per cent to $12.1 billion.
In volume terms, overall wholesale sales rose 0.5 per cent in July.
Statistics Canada started including oilseed and grain as well as the petroleum and petroleum products subsector as part of wholesale trade last year, but is excluding the data from monthly analysis until there is enough historical data.
This report by The Canadian Press was first published Sept. 13, 2024.
TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in the base metal and energy sectors, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 172.18 points at 23,383.35.
In New York, the Dow Jones industrial average was down 34.99 points at 40,826.72. The S&P 500 index was up 10.56 points at 5,564.69, while the Nasdaq composite was up 74.84 points at 17,470.37.
The Canadian dollar traded for 73.55 cents US compared with 73.59 cents US on Wednesday.
The October crude oil contract was up $2.00 at US$69.31 per barrel and the October natural gas contract was up five cents at US$2.32 per mmBTU.
The December gold contract was up US$40.00 at US$2,582.40 an ounce and the December copper contract was up six cents at US$4.20 a pound.
This report by The Canadian Press was first published Sept. 12, 2024.
