This Week's State Of The Economy - What Is Ahead? - 24 July 2020

By: Taro Chellaram /Wells Fargo Economics & Financial Report/Jul 25, 2020

This Week's State Of The Economy - What Is Ahead? - 24 July 2020

U.S. - Jobless Claims Rise, Housing Market Rebounding

  • Initial jobless claims rose to just over 1.4 million for the week ending July 18. Continuing claims fell to about 16.2 million. Initial claims edging higher suggests that the resurgence of COVID-19 may be taking a toll on the labor market recovery.
  • Record low mortgage rates have spurred a rebound in the housing market. Existing home sales jumped 20.7% and new home sales rose 13.8% during June. More improvement is on the way, as purchase mortgage applications continue to climb.
  • The Leading Economic Index (LEI) moderated slightly, but still increased 2.0%. Overall, the U.S. economic recovery continues, but the pace of improvement appears to be slowing.

 

Global - COVID-19 Outbreak Set to Disrupt Q2 Global Activity

  • This week’s data releases offered more insight into the severity of the economic downturn resulting from the COVID-19 pandemic as well as subsequent lock down and social distancing measures. South Korea—one of the first countries to release its Q2 GDP data—fell into recession with Q2 growth contracting 3.3% quarter-over-quarter.
  • As COVID-19 cases continue to surge in South Africa, the South African Reserve Bank (SARB) opted to cut its repo rate for the fifth time, reducing the key rate 25 bps to 3.50%. Elsewhere, Eurozone manufacturing and services PMIs recovered more than expected in July, moving back into expansionary territory.



This Week's State Of The Economy - What Is Ahead? - 03 April 2020

Efforts to contain the virus are leading to millions of job losses and it’s likely only a matter of time before a majority of economic data reveal unprecedented declines.

This Week's State Of The Economy - What Is Ahead? - 10 January 2020

The week began amid rising tensions carrying over from the U.S. killing of Iranian General Qasem Soleimani last Friday.

This Week's State Of The Economy - What Is Ahead? - 23 December 2020

Vaccines are here, but they are not yet widely available in a way that can stem the spread of a disease that grows by 200K a day.

This Week's State Of The Economy - What Is Ahead? - 21 May 2021

Over the past year, the housing market has become white-hot.

This Week's State Of The Economy - What Is Ahead? - 30 October 2020

Real GDP jumped a record 33.1% during Q3, beating expectations. A 40.7% surge in consumer spending drove the gain.

This Week's State Of The Economy - What Is Ahead? - 29 January 2021

Economic data came in largely as expected this week and suggest continued economic recovery.

Where Will That $2 Trillion Come From Anyway?

Net Treasury issuance is set to surge in the coming weeks and months. At present, we look for the federal budget deficit to be $2.4 trillion in FY 2020 and $1.7 trillion in FY 2021.

This Week's State Of The Economy - What Is Ahead? - 09 October 2020

Weekly first time unemployment claims highlighted an extraordinarily slow week for economic news. Jobless claims fell slightly but continuing claims fell by one million.

This Week's State Of The Economy - What Is Ahead? - 20 November 2020

The international economic news over the past week has been somewhat mixed. On the positive side, China’s October data showed ongoing growth in manufacturing and firming retail and service sector activity.

This Week's State Of The Economy - What Is Ahead? - 10 April 2020

The Federal Reserve greatly expanded the collateral that it is willing to buy, further easing pressures in financial markets.


Instagram

@ tcgcrealestate

Subscribe Now! IT's Free

Stay up to date with all news coming straight in your mailbox.

Copyright © 2022 TC Global Commercial. All rights reserved.