Rolling coverage of the latest economic and financial news, including the latest eurozone GDP reportIntroduction: Chinese factories suffer another contractionUS Federal Reserve cut interest rates last night 8.40am GMT Oil giant Shell has also been hurt by the global slowdown, and the drop in crude prices.Royal Dutch Shell has reported a 15% slump in profits for the last quarter amid lower oil market prices and a weaker global economy.The fossil fuel giant made $4.8bn (£3.65bn) in the last three months compared with $5.6bn in the same period last year and warned that it might miss its targets to reduce debt and pay back shareholders… 8.38am GMT The details of today’s PMI reports from China are pretty worrying, says economist Trinh Nguyen.She points out that orders and employment levels have fallen across manufacturers and service sector companies this month.Ouch! China manufacturing PMI contracts further to 49.3 from 49.8 and services slowed too to 52.8 from 53.7.
This is very bad news b/c we got rising CPI & deflated PPI & that limits the space for the PBOC to help.
But on the other side, positive for some trade resolution Details for the state manu PMI is rather grim:
New orders fall, employment in contraction but less, new export orders falling more, imports WORSE, output prices WORSE (we know from PPI falling), inventories reduced (this’ll help later when orders rise).
Help needed but how? pic.twitter.com/iMMa6XeNqJDetails for non-manu (services) PMI:
New orders contracting
Output prices CONTRACTING
EMPLOYMENT flat but contracting
pic.twitter.com/b634WXGmro Continue reading…
Source link : https://www.theguardian.com/business/live/2019/oct/31/chinese-factories-shrink-eurozone-gdp-germany-italy-pound-business-live
Author : Graeme Wearden
Publish date : 2019-10-31 08:40:45
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