Friday, September 11, 2009

Quick Notes for the Day - September 11

Consumer Sentiment Rises - According to reports, the Reuters/University of Michigan consumer sentiment index rose to 70.2 in early September from 65.7 in August. This is the first gain in the past three months. The increase was above the consensus forecast of Wall Street economists who had expected sentiment to improve to 68.0. Economists expected sentiment to improve because of rising stock prices and a sense that the recession may be ending.

Import Prices Rise on Oil - The Labor Department reported that higher crude oil prices were the main factor in the 2% rise in import prices for August. This is the fifth increase in the past six months. Import prices have risen 7.6% so far in 2009 as energy prices have rebounded, but they are still down 15% over the past 12 months. Prices of non-fuel imports into the United States rose 0.4% in August, the largest gain in a year.

Brazil's GDP Goes Positive for Q2 - Brazil's economy returned to growth in the second quarter, with gross domestic product up a better-than-expected 1.9% from the previous quarter. Brazil becomes the first country in Latin America to emerge out of recession. Year-on-year, Brazil's GDP fell 1.2%. Brazilian GDP growth of 1.64% in the second quarter of 2009 from the same quarter in 2008. First-quarter GDP contracted 1.8%. Brazil GDP also contracted in the fourth quarter of 2008, by 3.6%.

UK's PPI Rises - The UK producers price index (PPI) rose 0.2% in August but still down 0.4% from last year according to a report from the Office for National Statistics. Core output producer prices, which excludes food, beverages, tobacco and petroleum, rose 0.2% on the month and 0.7% on the year.

China's Industrial Output Higher Than Expected - The National Bureau of Statistics reported that China's industrial output was up 12.3% versus August 2008 and up 1.5% versus July. The gain was wider than a 10.8% on-year gain in July and beat expectations for 12.0% rise. Also, China's consumer price index (CPI) fell 1.2% versus August 2008, and the PPI was down 7.9% versus August 2008. Retail sales rose 15.4% on year, the bureau said.

China's Bank Lending Rises - Chinese banks made new loans worth 410.4 billion yuan ($60.1 billion) in August, way above market expectations of about 320 billion yuan reported by the state-run Shanghai Securities Journal, and also higher than the total loans of 355.9 billion yuan in July, according to central bank data released Friday. Total bank lending in the first eight months of 2009 rose to 8.15 trillion yuan, far higher than the 4.91 trillion yuan they disbursed in calendar year 2008. The central bank also said M2, a broad measure of money supply, accelerated 28.5% in August, compared with a 28.4% increase in July.

No comments: