Hong Kong: November inflation slows to 5.7% on food costs
HK’s inflation slowed in Nov on reduced gains in pork prices and the city’s moderating economic growth. Consumer prices rose 5.7% y-o-y, the government said. Inflation will “gradually recede” because of a decline in global food prices and moderating growth, the HK Monetary Authority, the de-facto central bank, said in a report. An increase in consumer costs may remain “notable in the near term” from an earlier surge in private rentals, the government said last month. (Bloomberg)
North Korea: Presses Kim succession plan as south braces for impact
North Korean media sought to rally support for a leadership transition to Kim Jong Un as uncertainty around the succession unsettled stock markets from Seoul to Hong Kong. Kim’s father, Kim Jong Il, died on 17 Dec from a heart attack brought on by mental and physical strain, the official Korean Central News Agency said. State media urged citizens to “loyally follow” Jong Un, Kim’s little-known third son, who the media said is at the “forefront of the revolution.” Kim Jong Il’s death and the risk of instability in North Korea may weigh on business and consumer confidence in South Korea just as the central bank warns of threats to growth and exports falter. Finance Minister Bahk Jae Wan yesterday pledged preemptive action if needed to support financial markets and the economy as the won and stocks fell. The central bank will “closely monitor” developments and stabilize markets if needed, Governor Kim Choong Soo said. (Bloomberg)
EU: German business confidence rises as growth seen in 2012
German business confidence unexpectedly rose for a second month in Dec as two economic institutes predicted Europe’s biggest economy will stave off the debt crisis and avoid a recession in 2012. The IFO institute’s business climate index, based on a survey of 7k executives, climbed to 107.2 from 106.6 in November, the Munich-based institute said. The IFW and RWI institutes both released predictions showing economic growth in 2012. (Bloomberg)
EU: German debt sales set to swell as economy falters: euro credit
Germany is poised to overshoot its 2012 borrowing target as the growth outlook in Europe’s largest economy worsens and the cost of bailing out banks and troubled neighbors increases. As the euro region’s debt crisis enters its third year, the German economy is buckling. S&P said on 5 Dec, it may strip the nation of its AAA rating and demand at a bond auction last month fell to its lowest since 1995. The debt agency is scheduled to reveal next year’s funding plans this week, after bond and bill sales of EUR283bn in 2011. (Bloomberg)
UK: Shuns crisis aid as Europe channels USD195bn to IMF
Europe bolstered its anti-crisis arsenal, channeling EUR150bn euros (USD195 bn) to the IMF as the European Central Bank widened its support for sagging bond markets. Four countries not using the single currency also pledged to add to the IMF war chest while Britain refused to commit, preventing officials from reaching the EUR200bn target to ease the euro area’s home-grown debt burdens. The UK will “define its contribution” in early 2012, euro finance ministers said in a statement. (Bloomberg)
US: Payrolls rose in 29 US states in November
Payrolls increased in 29 states in Nov, while the jobless rate declined in 43, a sign the labor market is recovering across much of the US. New York led the nation with a 29.5k gain in jobs, followed by Texas with 20.8k, figures from the Labor Department showed in Washington. The biggest drop in unemployment was in Michigan, where the jobless rate fell 0.8% point to 9.8%. (Bloomberg)
US: Housing starts in US Increase to 19-Month High
Builders broke ground in Nov on more houses than at any time in the past 19 months, led by a surge in multifamily units, signaling the market is stabilizing heading into 2012. Starts increased 9.3% to a 685k annual rate, exceeding the highest estimate of economists surveyed by Bloomberg News and the most since April 2010, Commerce Department figures showed in Washington. Building permits, a proxy for future construction, also climbed to a more than one-year high. (Bloomberg)
US stocks advance as housing data beat economists’ estimates
US stocks climbed, giving the Standard & Poor’s 500 Index its biggest gain of the month, as better-than-estimated housing starts added to expectations the world’s largest economy will weather Europe’s debt crisis. The S&P 500 rose 3% to 1,241.30, as 492 out of 500 stocks gained. The gauge lost 1.2% the day before yesterday. The Dow Jones Industrial Average added 337.32 points, or 2.9%, to 12,103.58 yesterday. The Russell 2000 Index of small companies rallied 4.2% to 738.22. (Bloomberg)
No comments:
Post a Comment