Economy in Brief

While Industrial output in the Zone has been slowing or contracting on a broad front for some time the most dramatic slowdown has been in Germany. For a while it was just German IP growth falling from very rapid rates of growth down [...]

U.S. import prices fell 0.6% during July following a 2.4% June decline, revised from -2.7%. A 0.2% uptick had been expected. Prices continued lower in most categories. Petroleum prices declined 1.6% (-12.3% y/y), off for the fourth [...]

Lower oil prices continue at the forefront of trade sector improvement.The U.S. June foreign trade deficit narrowed to $42.9B from $48.0B in May, initially reported as $48.7B. Expectations were for a deficit of $47.8B. Exports rose [...]

Initial unemployment insurance claims fell to 361,000 during the week ended August 4 from 367,000 during the prior week, revised from 365,000. An uptick in claims to 370,000 had been expected. The four-week moving average of claims [...]

The Mortgage Bankers Association index of total mortgage applications fell 1.8% last week (35.0% y/y). Nevertheless, this month remained up sharply from July. The figures remain close to the high in this cycle. Applications to [...]

German IP fell by 0.9% in June after gaining back part of an outsized drop from April in May. The three month growth rate is a deep negative -5.9% annualized exceeding the pace of decline over 12-months. Construction output is falling [...]

No wonder growth in corporate profitability has slowed. The cost of labor has been on the rise as growth in labor compensation outpaces productivity. Unit labor costs grew 1.7% last quarter following a 5.6% Q1 rise. These gains follow [...]

Consumer credit usage cooled down in June after a blistering start this spring. The Federal Reserve reported that credit grew $6.5B (AR) after a $16.7B rise in May, revised from $17.1B. A $10.5B increase had been expected by Action [...]