Consumer confidence hits 15-month low – The Ratchaprasong bombing, a dropping SET Index, and the sluggish economic growth in China beat down Thai consumer confidence to a 15- month low in August, with confidence in travel, investment and purchasing power hitting a 122- month low. (The Nation, 4/9/15)
Economic stimulus set to boost premiums – The Office of Insurance Commission (OIC) expects an increase of nearly 5% in total premiums this year, with the government’s new economic stimulus measures supporting the growth, its chief says. The OIC forecasts that premiums will rise by 4.73% to 730-750 billion baht, secretary-general Pravej Ongartsittigul said. (Bangkok Post, 4/9/15)
ECB cuts inflation, GDP forecasts – The European Central Bank cut its growth and inflation forecasts on Thursday, warning of possible further trouble from China and paving the way for an expansion of its already massive 1 trillion-euro plus asset-buying program. The ECB now sees GDP in the euro zone growing 1.4 percent this year, below its previous 1.5 percent projection. The forecast for 2017 was cut to 1.8 percent from 2.0 percent. Draghi said the cuts were caused by weaker external demand. The ECB expects euro zone headline inflation, now running at 0.2 percent, to average just 0.1 percent this year, down from previous expectations of 0.3 percent. (Reuters, 3/9/15)
Eurozone August business growth at four-year high, still weak – Markit’s final August Composite Purchasing Managers’ Index (PMI) beat an earlier estimate of 54.1, settling at 54.3 — its highest level since May 2011. In July it registered 53.9 and has now been above 50, which denotes expansion, since July 2013.The PMI for the bloc’s dominant service industry rose to 54.4 from July’s 54.0. The flash estimate was 54.3. The manufacturing PMI, released on Tuesday, dipped to 52.3 from 52.4. (Reuters, 3/9/15)
Fed Beige Book: U.S. Economic Activity ‘Continued Expanding’ Across Most Districts – The report, based on anecdotes in the Fed’s regional survey of economic conditions known as the beige book, suggests wage growth remains sluggish nationally. But it offered strong evidence that in some pockets, such as parts of the Midwest, northern California and New York, workers are gaining leverage and starting to see a boost in pay. “Several Districts reported increasing wage pressures caused by labor market tightening,” the Fed said. (WSJ, 2/9/15)
Mortgage applications soar 11.3% on brief rate dip – Home mortgage applications increased dramatically last week, as a strong sell-off in the U.S. stock market pushed interest rates lower briefly. Jumbo loan borrowers were especially enticed by the potential savings. An index of application volume jumped 11.3 percent on a seasonally adjusted basis for the week ending August 28th versus the previous week, according to the Mortgage Bankers Association (MBA). Volume is now up 30 percent from a year ago. (CNBC, 2/9/15)
China to further standardize imports, exports-related charges – China will further standardize charges related with imports and exports in a bid to facilitate stable growth of foreign trade, the National Development and Reform Commission (NDRC), China’s top economic planner, said on Wednesday in a statement on its website. (Xinhua, 2/9/15)
U.S. services sector expands at fastest pace since May: Markit – U.S. services sector growth edged ahead during August from July to its highest level since May, signaling the United States was on track for solid third-quarter expansion, an industry report showed on Thursday. Markit’s final PMI was 56.1 in August, a slight improvement from the preliminary reading of 55.2 and up from 55.7 in July, according to a news release. (Reuters, 3/9/15)
US trade deficit smallest in five months – The U.S. trade deficit fell in July to its lowest level in five months as exports rose, signaling underlying strength in the economy amid concerns about a global growth slowdown. The Commerce Department said on Thursday the trade gap narrowed 7.4 percent to $41.9 billion, the smallest since February. June’s trade deficit was revised to $45.2 billion from the previously reported $43.8 billion. (CNBC, 3/9/15)
U.S. Jobless Claims Rise by 12,000 – The number of Americans seeking first-time unemployment benefits rose last week, though the overall level remained consistent with steady job creation. Initial jobless claims, a proxy for layoffs across the U.S., increased by 12,000 to a seasonally adjusted 282,000 in the week ended Aug. 29, the Labor Department said Thursday. That was the fifth rise in six weeks and the highest level since the start of July. (WSJ, 3/9/15)
