Highlights of key economic statistics from last week compiled by Putnam Investments.
- The CPI rose 0.1% and core CPI increased 0.6% in August, the Bureau of Labor Statistics noted.
- The Producer Price Index for final demand fell 0.1% in August, according to the Bureau of Labor Statistics.
- Retail sales rose 0.3% in August compared with July, the Census Bureau reported.
- Initial jobless claims fell by 5,000 to 213,000 in the week ended September 10, 2022, according to the Department of Labor.
- As of September 8, 2022, of the 497 S&P 500 Index companies reporting second-quarter earnings, 371 beat analysts’ estimates, according to S&P Dow Jones Indices.
- The NFIB Small Business Optimism Index rose in August.
- Eurostat reported euro area industrial production fell 2.3% in July compared with June.
- Germany’s Federal Statistical Office noted the inflation rate rose 7.9% year over year in August.
- The United Kingdom’s Office for National Statistics reported GDP grew 0.2% in July.
- The yield on the 10-year Treasury note rose.
- Rising energy prices, worsened by the Russia-Ukraine War, increase the risk of stagflation and recession, even as central banks seek monetary policy normalization.
- Declining liquidity and deteriorating financial conditions, combined with high valuations, are contributing to a substantial uptick in risk asset volatility.
- Global leverage is at worrisome levels and will eventually need to be paid for, at a time when most developed markets are facing a fiscal drag from the end of post-pandemic stimulus.
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