Global Economic News Weekly Update

Global Economic News Weekly Update

Consumer Confidence Rises Sharply

The Conference Board posted the new Consumer Confidence Index for the United States on October 29, 2024. It marked the index's increase at 108.7 against the forecasted 98.9 and prior 99.2. This will also show good signs to consumers of the United States that it can be a stable market as well with regards to its economy performing within its boundaries. The next release on November 26, 2024, is also due at 15:00 GMT, to hike at 109.3 and most probably would gain growth within consumer confidence.

Job Openings Dips Below Projections

The U.S. JOLTS Job Openings report for October 29, 2024, reported that job openings have slid down to 7.443 million. This is less than what was forecasted at 7.688 million and less than the previously recorded 7.861 million. The downward drift could suggest that the cooling demand for labor might begin to give hints that business houses are getting cautious and are not hiring as aggressively as they once were because of the uncertain economic climate. The next update, set to be published on December 3, 2024, at 15:00 GMT, is expected to rebound to 7.492 million.

US GDP Growth Rate Eases Slightly

The U.S. Gross Domestic Product (GDP)  growth rate, released by the Bureau of Economic Analysis on October 30, 2024, was reported at 2.8%, below the consensus estimate of 3.2% and from the previous 3.0%. This slower-than-expected growth might indicate difficulties in sustaining the momentum, possibly because of external factors or lower consumer spending. The next GDP release on November 27, 2024, at 13:30 GMT, is also expected to be 2.8%, which means cautious optimism for steady, if not strong, economic growth.

Private Sector Hiring Rises

The ADP Nonfarm Employment Change report for 30th October 2024 is at 233,000, more than twice the prediction of 121,000 with an improvement over the preceding 143,000. This significant number shows increased private sector employment that sustains strength in the US Labor Market. The next report by ADP will come on 4th Dec 2024 at 13:15 GMT and is projected at 205,000. This is showing that jobs continue at a good pace.

The PCE Index continues to be persistently inflationary

The Core PCE Price Index for 31 October 2024 was reported to be 0.3% above the forecasted 0.2% and also from the previous reading of 0.2%. This suggests that inflationary pressures are more sticky than expected, either due to increased consumer demand or problems in the supply chain. The next scheduled release will be on November 27, 2024, at 15:00 GMT, which shows a decline of 0.2%, indicating that inflation should ease going forward.