Economy in Brief

Growth in consumer credit outstanding is positive, just not like estimated earlier. It increased $6.5B (AR) in April following a $12.4B March gain, initially reported as $21.3B. During the prior four months, increases averaged $15.0B [...]

Initial claims for unemployment insurance totaled 377,000 during the week of June 2 compared to 389,000 during the week prior, revised up from 383,000. Consensus expectations were for 380,000 new filings. The four-week moving average [...]

The picture for German industrial production is now so clear and so obvious the only uncertainty is about the future pace and how long this ramp-down will continue. Output of consumer goods is unraveling at an unnerving pace despite [...]

The Mortgage Bankers Association index of total mortgage applications increased 1.3% (55.5% y/y) last week and reversed the prior week's decline. Applications to refinance gained 2.0% (80.8% y/y) but home purchase applications fell [...]

Labor productivity for Q1'12 was weaker than reported initially. However, the -0.9% (AR) revised figure was accompanied by a bigger downward revision to compensation growth to 0.4%. As a result, growth in unit labor costs was lessened [...]

European purchasing managers in the service industries continue to report lower activity. In May the PMIs for the service industries in Spain, Italy and France were respectively 41.84, 42,78 and 45.09, compared with 42.11, 42.32 and [...]

The Composite Index for the service and construction sectors from the Institute for Supply Management (ISM) ticked up to 53.7 in May following its sharp April decline to 53.5. The figures remained near the lowest level since December. [...]

Chain store sales inched up 0.4% last week (2.8% y/y) following sharp declines in six of the prior seven weeks. Sales began June 1.0% below the May average. During the last ten years there has been a 72% correlation between the y/y [...]