Economy in Brief: August 2007

Personal income rose 0.5% in July, slightly firmer than June's 0.4%. Consensus forecasts had pointed to a 0.3% July rise. This monthly increase put the 12-month change at 6.6%. The PCE chain price index rose just 0.1% during July, [...]

In the German IFO framework the biggest slippage seems to be in orders on hand, month-to-month demand, and business expectations. These measures have dropped into the 60th to 70th percentile ranges of their respective histories. These [...]

The accompanying chart is the paradox of Europe. Its sentiment index is very high yet there is already a clear loss in momentum. Historically, breaks in momentum have led to significant slow downs. So far this one has been different. [...]

Personal income rose 0.5% in July, slightly firmer than June's 0.4%. Consensus forecasts had pointed to a 0.3% July rise. This monthly increase put the 12-month change at 6.6%. The PCE chain price index rose just 0.1% during July, [...]

U.S. real GDP growth during 2Q 2007 was revised higher to 4.0% (AR) from the advance report of 3.4% growth. The figure about matched consensus expectations for a 4.0 to 4.1% rise. Reported for the first time, 2Q profits (so-called [...]

In early 1990 and again in early 2002, Italy scored its highest readings on this index. But since 2002 confidence has dropped. As the Euro area picked up, Italy’s confidence also recovered but could barely get half-way back to its [...]

Japan retail sales are mostly lower across the board. Special factors have hit the Japanese consumer to be sure. There was a radiation leak at a nuclear plant that turned out to be worse that was first reported. And then a power [...]

U.S. real GDP growth during 2Q 2007 was revised higher to 4.0% (AR) from the advance report of 3.4% growth. The figure about matched consensus expectations for a 4.0 to 4.1% rise. Reported for the first time, 2Q profits (so-called [...]