By the numbers: The economy this week

Update for October 7, 2019   |   Download PDF

Highlights of key economic statistics from last week compiled by Putnam Investments.

economy

  • The Institute for Supply Management reported that manufacturing contracted in September for the second straight month.
  • Construction spending rose 0.1% in August, according to the Census Bureau.
  • The trade deficit widened in August, the Census Bureau stated.

employment

  • Initial jobless claims rose by 4,000 to 219,000 in the week ended September 28, 2019, according to the Department of Labor.
  • The U.S. added 136,000 jobs in September and the unemployment rate fell to 3.5%, the Bureau of Labor Statistics reported.

profits

  • As of September 3, 2019, of the 497 S&P 500 Index companies reporting second-quarter earnings, 366 — or 73.6% — beat analysts’ estimates, according to S&P Dow Jones Indices.

emotion

  • The Conference Board’s Measure of CEO Confidence fell in the third quarter, reaching its lowest level since the first quarter of 2009.

europe

  • Eurostat found that producer prices dropped 0.5% in the euro area in August.
  • Retail trade increased 0.3% in the euro area in August, Eurostat stated.
  • The Eurozone PMI Composite output Index fell to 50.1 in September from 51.9 in August.
  • Euro area annual inflation declined to 0.9% in September from 1.0% in August, Eurostat reported.

rates

  • The yield on the 10-year U.S. Treasury note declined.

risks

  • The cumulative effect of tariffs and low corporate confidence will increase pressure on global manufacturing.
  • Brexit, Italian debt dynamics, and a fragile European banking system risk tipping Europe back into recession.
  • Weak stimulus in China thus far is showing little sign of slowing the pace of deceleration.

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All economic and performance information is historical and does not guarantee future results. The views and opinions expressed are those of Putnam Investments, are subject to change with market conditions, and are not meant as investment advice.