Week of October 12–16
U.S. inflation weighs on markets, while corporate earnings and economic data send mixed signals.
Markets faced a volatile week as U.S. inflation accelerated and expectations of higher interest rates increased. As the corporate earnings season gets underway, the global economy continues to show diverging trends.
Estados Unidos
- Annual inflation rose to 3.7%, while producer prices increased 6.3%, putting pressure on technology stocks. The bank earnings season began with mixed results.
Europa
- Germany’s inflation reached 3.3%, while Eurozone industrial production fell 1.1% year over year. In contrast, UK GDP grew 2.1%, showing economic resilience.
Japón
- Producer prices rose 6.8% year over year in September, slowing from August. On a monthly basis, prices fell 0.3% for the second consecutive month, reflecting easing cost pressures.
China
- Exports grew 36.3% year over year in September, driven by technology, while inflation remained subdued at 0.9%. The widening trade surplus heightened international trade tensions.
Argentina
- Annual inflation eased slightly to 33.5% in September, down from 33.7% in August. However, consumer prices rose 1.9% month over month, reflecting persistent inflationary pressures.
Brasil
- Retail sales rose just 0.1% month over month in August, falling short of expectations. Industrial confidence improved in October but remained in pessimistic territory for the 22nd consecutive month.
México
- Industrial activity grew 3.6% year over year in August, driven by manufacturing. Meanwhile, congressional committees advanced discussions on the 2027 budget, focusing on revenue and borrowing.
“You can’t predict, but you can prepare.”
— Howard Marks
UPCOMING EVENT
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In the United States, data related to employment and growth will be released. 10/20 – 22
Monitor:
