Highlights of key economic statistics from last week compiled by Putnam Investments.
- Real GDP grew at an annual rate of 4.9% in the third quarter, the Bureau of Economic Analysis noted in an advance report.
- The trade deficit increased in September compared with August, according to an advance report from the census Bureau.
- Durable goods orders grew 4.7% in September, the Census Bureau stated in an advance report.
- Initial jobless claims rose by 10,000 to 210,000 in the week ended October 21, 2023, the Department of Labor stated.
- As of October 25, 2023, of the 171 S&P 500 Index companies reporting third-quarter earnings, 131 beat analysts’ estimates, according to S&P Dow Jones Indices.
- The European Commission’s Flash Consumer Confidence Indicator fell slightly in the euro area in October.
- The HCOB Flash Eurozone Composite PMI Output Index fell to 46.5 in October from 47.2 in September.
- The HCOB Flash Germany Composite PMI Output Index dropped to 45.8 in October from 46.4 in September.
- The ifo Business Climate Index for Germany rose in October.
- The yield on the 10-year Treasury note declined.
- The European Central Bank decided to hold rates steady.
- Deposit flight continues to pressure banks to tighten lending standards, increasing the potential risk of a credit squeeze.
- 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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