Tuesday, July 20, 2010

20100720 1006 Global Economic News.

India: Inflation to quicken in July India’s inflation will accelerate in July, increasing pressure on the central bank to raise interest rates next week for a fourth time in five months. The benchmark wholesale-price index jumped 10.55% in June after climbing 11.23% in April, the most in 19 months (Bloomberg)

China: Export growth may slow in second half of 2010
China’s export growth may slow over the rest of the year to less than half the pace of the first six months. Weaker export growth may exacerbate a second-half slowdown in the expansion of the world’s third-biggest economy, encouraging the government to limit gains by the yuan against the dollar. (Bloomberg)

UK: Home asking prices fell in July for first time this year
UK home sellers cut prices for the first time this year in July and will probably keep doing so for the remainder of 2010. Asking prices fell 0.6% to 236,332 pounds (USD364,708) and will drop 7% in the second half, wiping out gains so far this year. (Bloomberg)

E.U: Construction output declines for second month in May , led by declines in Germany. Construction in the 16-nation euro region fell 1% MoM from April, when it decreased 0.3% MoM, E.U's statistics office in Luxembourg said. From a year earlier, output in May dropped 6.3% YoY after falling 5.7% YoY in April. (Source: Bloomberg)

Ireland: Moody's cuts rating on debt outlook, bank costs. The company lowered Ireland to Aa2 from Aa1 and moved the country to a "stable" from a "negative" outlook, it said in a statement. Ireland lost its top rating at Moody's in April 2009. Irish bonds fell after the downgrade. (Source: Bloomberg) 

US: Homebuilder confidence falls to one-year low
Builders in the US turned more pessimistic in July than forecast, a sign the expiration of a government tax credit will depress home construction. The National Association of Home Builders/Wells Fargo confidence index dropped to 14 this month, the lowest level since April 2009. (Bloomberg)

US: Second-quarter growth forecast lowered to 2%
A surge in imports and slower consumer spending reduced US economic growth in the second quarter. The world’s largest economy grew at a 2% annual pace from April through June, down from a previously estimated 3% pace. (Bloomberg)

US: Economy at start of ‘protracted sluggishness’ The US economy faces a period of “protracted sluggishness” as consumers are wary to spend. The US economy grew at a 2.7% annual rate in the first quarter, less than previously calculated, reflecting a smaller gain in consumer spending and a bigger trade gap. (Bloomberg)

No comments: