US ISM Manufacturing Stays in Contraction in May as Trade Rows Keep Outlook Uncertain, Causing Supply Chain Chaos
–ISM Manufacturing Index at 48.5 Vs. 48.7 in April, Below Consensus at 49.1–ISM New Chair Spence: Agree with Predecessor Fiore that US Economy Not Yet in Recession but PMI Moving in That Direction–Spence: Manufacturing Sector Will Continue Struggling Until There is More Certainty Over US Trade Policy–Spence: Layoffs Main Option for Firms as They Reduce […]
Fed Officials Still Hopeful About Economy, In No Rush to Cut Interest Rates
– Divergent Views Have Emerged But for Now Officials United on Need For Patience By Steven K. Beckner (MaceNews) – As the Federal Reserve approached its mid-year monetary policy meeting, Fed officials have given few signs this week that they are prepared to change their “moderately restrictive” interest rate settings any time soon. While officials […]
Japan Keeps Gradual Economic Recovery Outlook Against Global Trade War, Domestic Inflation Headwinds
By Max Sato (MaceNews) – Japan’s government continued to put on a brave face on the global trade war and politically explosive food price inflation, maintaining its cautiously optimistic domestic economic outlook for the ninth straight month, saying the economy is expected stay on a “modest recovery” track. In its monthly report for May released […]
TRANSCRIPT: Fed’s Powell Says Wait and See Effects of Tariffs on Inflation, Unemployment
WASHINGTON (MaceNews) – Federal Reserve Chair Jerome Powell Wednesday said in several different ways the Fed has to wait and see whatever effects on inflation and unemployment come from whatever the ultimate tariff rates are imposed on China and other countries – and beyond that, he said very little more. A transcript of the post-FOMC […]
FOMC Stands Pat, Sees Risks Up for Both Unemployment, Inflation
WASHINGTON (MaceNews) – The Federal Open Market Committee Wednesday, as expected, decided to maintain its policy rate and the only notable addition to the policy statement was that the Fed sees “the risks of higher unemployment and higher inflation have risen.” The policy statement follows: Although swings in net exports have affected the data, recent […]
ISM: US Services Sector Expands in April for 10th Straight Month but Trump Tariffs Keep Outlook Uncertain
–ISM Services Index Picks Up to 51.6 Vs. 50.8 in March, Above Consensus (50.2)–Slight Pickup Led by 3 Out of 4 Key Subindexes: New Orders, Employment, Supplier Deliveries (Slower Deliveries)–Employment Subindex in Contraction for 2 Months in a Row–ISM’s Miller: More Industries Mention Trump Tariff Impact on Costs–Miller: Must Watch for Profits, Survival of Smaller […]
US ISM Manufacturing Remains in Contraction in April as Trump Tariffs Choke Demand, Prompting Firms to Slash Output, Shed Payrolls amid High Costs
–ISM Manufacturing Index at 48.7 vs. 49.0 in March, Above Consensus (47.9)–ISM’s Fiore: Tariff Concerns Account for 82% of April Survey Comments vs. 67% in March, Overshadowing Any Kind of Demand Comment–Fiore: Don’t Think US in Recession but PMI Indicates Moving in That Direction–Fiore: Not a Tariff Fan; Firms Won’t Invest, US Consumers Will Pay […]
Preview: Japan Q1 GDP to Post 1st Contraction in 4 Quarters as High Costs Keep Consumers Wary, Exports Remain Flat amid Uncertain Global Growth Prospects
–Global Trade War May Lead to 2nd Straight GDP Slump in Q2 By Max Sato (MaceNews) – Japan’s gross domestic product for the January-March quarter is forecast to post its first contraction in four quarters, down a slight 0.1% on quarter, or an annualized 0.4%, in payback for a technical jump in net exports in […]
FED’S BEIGE BOOK: Analysts See ‘Pre-Downturn’ Assessment of Tepid Economy Coast to Coast
WASHINGTON (MaceNews) – The Federal Reserve’s latest “Beige Book” survey Wednesday of economic conditions in all 12 Fed Districts reflected widespread uncertainty because of shifting trade policy, softening consumer spending and worsening outlooks that hinted at an economy on the precipice of a downturn. The following is the national summary and District-by-District snapshots from the […]
Japan Seeks to Tide Over Trade War by Shoring Up Consumption, Keeps Gradual Economic Recovery View Despite Mixed Business Sentiment, Rising Inflation Risks
By Max Sato (MaceNews) – Japan’s government maintained its cautiously optimistic assessment for the eighth straight month, saying the economy is expected stay on a “modest recovery” track, but highlighted the growing uncertainty around the world triggered by the protectionist U.S. trade policy under President Trump. In its monthly report for April released Friday by […]