China consumer inflation rate drops to a five-month low, missing expectations as economy slows. ARE MORE STIMULUS COMING?
China’s consumer prices rose less-than-expected in November, climbing 0.2% from a year ago, according to data from the National Bureau of Statistics released Monday. Analysts polled by Reuters had expected a slight pickup in the consumer price index to 0.5% in November from a year ago, versus 0.3% in October. China’s producer price index declined for the 26th month. Producer inflation fell by 2.5% year on year in November, less than the estimated 2.8% decline as per the Reuters poll. Source: CNBC, Evan
🚨BIG WEEK FOR CENTRAL BANK DECISIONS AHEAD🚨
The European Central Bank, the Bank of Canada, the Swiss National Bank and the Reserve Bank of Australia will announce rate decisions. ECB and SNB are expected to cut by 0.25%, and BoC by 0.50%, while RBA to leave rates unchanged. Source; Global Markets Investor @GlobalMktObserv, Bloomberg
China ups stimulus response, shifts monetary policy stance for the first time in 14 years.
Politburo vows to stabilise both housing and stock markets. China stocks, commodities prices jump. CHINA EASES MONETARY POLICY STANCE FOR FIRST TIME SINCE 2011 *POLITBURO: CHINA MONETARY POLICY TO BE MODERATELY LOOSE *POLITBURO: CHINA'S FISCAL POLICY TO BE MORE PROACTIVE NEXT YEAR *POLITBURO: WILL STABILIZE THE PROPERTY AND STOCK MARKETS Source: Bloomberg, David Ingles
The problem in one chart
More $debt is needed to generate $1 of GDP Source: zerohedge
There is now a 70% chance of a 25 bps interest rate cut at this month's FOMC meeting 🚨
Source: Barchart
US Economic Surprises are starting to roll out.
See below yesterday macro numbers - majority of them missed estimates (hard & soft data) *ADP Payrolls: Miss 🔴 *S&P Services PMI: Miss 🔴 *ISM Services PMI: Miss 🔴 *ISM Services Employment: Miss 🔴 *Factory Orders: Miss 🔴 Source: Jessie Cohen
GLOBAL DEBT HIT A NEW RECORD
Global debt rose by over $12 trillion in Q1-Q3 and hit a MASSIVE $322.9 trillion, a new all-time high. Over the last 2 decades, world's debt has TRIPLED. Debt-to-GDP fell to 326%, ~30 percentage points below 2021 record but remains above 2019. Source: Global Markets Investor @GlobalMktObserv
GS: Chart of the Week
Global MAP (economic) Surprise Index Has Fallen Sharply, Driven by Weak Euro Area PMIs and a Plummet in US New Home Sales Source: Mike Zaccardi, CFA, CMT @MikeZaccardi, GS
