Highlights of key economic statistics from last week compiled by Putnam Investments.
- Factory orders fell 2.1% in July compared with June, the Census Bureau stated.
- The S&P Global US Composite PMI Output Index dropped to 50.2 in August from 52.0 in July.
- The trade deficit increased in July compared with June, according to the Census Bureau.
- Initial jobless claims fell by 13,000 to 216,000 in the week ended September 2, 2023, the Department of Labor reported.
- As of September 1, 2023, of the more than 99% of S&P 500 Index companies reporting second-quarter earnings, 79% of the companies have reported a positive EPS surprise and 64% reported a positive revenue surprise.
- The IBD/TIPP Economic Optimism Index increased in September.
- Eurostat found euro area industrial producer prices fell 0.5% in July compared with June.
- Eurostat reported euro area GDP grew by 0.1% in the second quarter.
- Euro area retail trade fell 0.2% in July compared with June, according to Eurostat.
- The yield on the 10-year Treasury note increased.
- Growth was modest in July and August in most districts, the Federal Open Market Committee stated in its Beige Book report.
- Deposit flight continues to pressure banks to tighten lending standards, increasing the potential risk of a credit squeeze.
- Declining liquidity and deteriorating financial conditions, combined with high valuations, are contributing to a substantial uptick in risk asset volatility.
- Global leverage is at worrisome levels and will eventually need to be paid for, at a time when most developed markets are facing a fiscal drag from the end of post-pandemic stimulus.
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All economic and performance information is historical and does not guarantee future results. The views and opinions expressed are those of Putnam Investments, are subject to change with market conditions, and are not meant as investment advice.
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