Fisher Investments Reviews: Last Week in Markets—August 26 - August 30

In the US, the second estimate of Q2 2024 GDP showed 3.0% annualized expansion, above the initial estimate. Preliminary durable goods orders jumped 9.9% m/m in July. The personal consumption expenditures (PCE) price index—the Fed’s preferred measure of inflation—rose 2.5% y/y in July, less than expected and matching June’s reading.

 In the UK, July money supply (M4) increased 0.3% m/m. In the eurozone, August preliminary consumer inflation decelerated to 2.2% y/y, while preliminary core consumer inflation (which excludes energy, food, alcohol, and tobacco) slowed to 2.8% y/y—both in line with expectations. The July unemployment rate fell to 6.4%, slightly below forecasts. July money supply (M3) increased 2.3% y/y.

 In Japan, the final estimates for July imports and exports increased 16.6% y/y and 10.3% y/y, respectively. The July unemployment rate ticked up to 2.7%, above forecasts. July retail sales rose 2.6% y/y. Preliminary July industrial production increased 2.8% m/m and 2.7% y/y. In China, the August NBS Manufacturing Purchasing Managers’ Index (PMI) fell to 49.1 while the Non-Manufacturing PMI rose to 50.3. The NBS PMIs focus on large, state-owned firms and readings above 50 indicate expansion.

 The Week Ahead

The US, UK, eurozone, Japan and China report August PMIs. The US reports August nonfarm payrolls and the August unemployment rate. The eurozone releases July retail sales, Q2 2024 trade data and its third estimate of Q2 2024 GDP.

Source for all data cited is FactSet. This update constitutes the general views of Fisher Investments and should not be regarded as personalized investment advice. No assurances are made we will continue to hold these views, which may change at any time based on new information, analysis or reconsideration. In addition, no assurances are made regarding the accuracy of any forecast made herein. Global equities are represented by the MSCI World Index. The MSCI World Index measures the performance of selected stocks in 23 developed countries and is presented net of dividend withholding taxes and uses the maximum rate applicable to non-resident institutional investors who do not benefit from double taxation treaties. Past performance is no guarantee of future results. A risk of loss is involved with investments in stock markets.