Economy in Brief: November 2020

Japan's third quarter growth result is a step in the right direction. Of course, it does not get Japan out of the hole dug in Q2 (…and Q1…and Q4). Japan has been struggling for some time with a variety of issues. Quite distressingly, [...]

• Component declines are broad-based. • Pricing power improves. The Empire State General Business Conditions Index edged lower to 6.3 this month after easing to 10.5 in October. Nevertheless, it was the fifth consecutive positive [...]

• Revenues decline and outlays surge. The U.S. Treasury Department reported that the federal budget deficit increased to $284.1 billion during October compared to $134.5 billion twelve months earlier. The Action Economics Survey [...]

EMU GDP and across the EMU made rousing gains in Q3. The percentage gains Q/Q exceeded the percentage losses for the previous quarter in every case except for Denmark and Finland. Despite that gap (and the illusory arithmetic of those [...]

• Lower mortgage interest rates combine with higher income combine to raise affordability. • Housing affordability improvement follows four straight monthly declines. The National Association of Realtors reported that its Fixed Rate [...]

• Food & energy prices strengthen. • Core goods prices remain stable. • Service price increase moderates. The Producer Price Index for final demand rose 0.3% (0.5% y/y) during October following a 0.4% September increase. A 0.2% rise [...]

• Retail price inflation decelerates y/y. • Goods prices firm y/y, while price gains in services moderate. Consumer prices continue to be well-behaved. The Consumer Price Index held steady (1.2% y/y) during October following a 0.2% [...]

Of the 12 EMU member countries in the table, seven logged manufacturing IP declines in September. This total contrasts with four in August and none in July. Over three months, only one country, Ireland, shows a decline in output. Over [...]