Economy in Brief: December 2020

The Federal Reserve left the target for the Fed funds rate in a range of 0.00% to 0.25% at today's meeting of the FOMC. The Fed indicated that, "The COVID-19 pandemic is causing tremendous human and economic hardship across the United [...]

• Housing market activity weakens after increasing for seven consecutive months. • Number of prospective buyers falls from record level. • Activity in each region declines. The Composite Housing Market Index from the National [...]

• Consumers pull back spending as coronavirus cases increase. • New business restrictions and limits to store access grow. • Spending weakness is widespread. Total retail sales including food service & drinking establishments declined [...]

• Business inventories increased 0.7% in October still 3.2% below February level. • Sales gain 0.9%, now 0.9% above January peak. • Inventory-to-Sales ratio edges down to six-year low of 1.31. Total business inventories grew 0.7% in [...]

• Mortgage applications rise moderately. • Mortgage interest rates decline to another survey low. The Mortgage Bankers Association Mortgage Loan Applications Index rebounded modestly in the week ended December 11, rising 1.1% w/w [...]

Japan's exports headed lower in November but still commanded a strong growth rate over the last three months. Imports are lower in November by 4%, a large drop; they also are growing over three months but not as robustly as exports. [...]

EMU inflation trends The chart gives the big picture overview of trend based on year-on-year calculation conducted on headline inflation. On that basis, inflation has been well under-wraps. The ECB has not met or exceeded its [...]

• Production gain moderates m/m but surges since April. • Durable goods strength is pronounced, notably for motor vehicles. • Capacity utilization continues to rise. Industrial production increased 0.4% (-5.5% y/y) during November [...]