Weekly Comment Recent trends in global markets: Key data

Week of October 21 to 25
United States:
- Housing sales fell 1%, reaching their lowest level in 14 years, as buyers await more accessible mortgage rates.
- The Beige Book reported that economic activity remained stable, with a slight decline in manufacturing and mixed consumer spending. Employment showed slight growth, although wages increased moderately. Insurance and healthcare costs were areas of major concern due to their increases.
• Europe:
- Consumer confidence in the eurozone increased 0.4 points in October, with an improvement in consumer sentiment to -12.5, according to the European Commission.
- Christine Lagarde, President of the ECB, emphasized the need for caution regarding rate cuts during her recent appearance at an event in Washington.
• Japan:
- The IMF projected that Japan’s economic growth will slow to 0.3% this year, affected by disruptions in the automotive industry and the loss of tourism momentum.
• China:
- The People’s Bank of China reduced its benchmark interest rates as part of stimulus package to revitalize the economy.
• Brazil:
- Inflation expectations remain above the Central Bank’s target, which will maintain its pragmatic stance regarding the Selic rate.
• Mexico:
- BBVA Research downgraded Mexico’s economic growth for 2024 to 1.2%. However, overall inflation is expected to close below 4%.
Important events in the coming weeks:
- In the United States, consumer confidence data will be released on 10/28.
- In the United States, employment data will be released on 11/01.
Monitor
