ECB’s 2% inflation target is in sight

ECB’s 2% inflation target is in sight

The flash estimate of euro area inflation for November confirmed the disinflationary signals from the national data released over the past day: the pace of disinflation has accelerated to such a degree that it is reflective of an ongoing euro area recession and an ECB...
UK economy accelerates in November

UK economy accelerates in November

November’s flash PMIs once again support our view that the UK economy is merely in a state of stagnation as opposed to outright contraction, like that seen in the eurozone. In conjunction with structural supply issues which should keep short-term UK rates higher for...
Riksbank gambles on external conditions keeping the krona supported

Riksbank gambles on external conditions keeping the krona supported

The Riksbank hit a pause on policy tightening this morning, leaving the main policy rate at 4.00% in a move that defied consensus expectations that had looked for a final rate hike to be delivered. As noted in our preview for today’s announcement, risks around today’s...
Weak growth in Europe is starting to impact the labour market

Weak growth in Europe is starting to impact the labour market

The general theme across November’s flash eurozone PMIs is that the continued slowdown in economic growth is starting to manifest within the labour market. In France, unused business capacity saw the private sector employment index fall for the first time in 3 years,...
Inflation cools considerably in Canada at the start of Q4

Inflation cools considerably in Canada at the start of Q4

Canadian headline CPI fell 0.7 percentage points to 3.1% YoY at the start of the fourth quarter, in line with economist expectations. This largely reflected lower gasoline prices (-7.8% YoY).On a monthly basis, headline CPI rose just 0.1% in October following a 0.1%...