Fisher Investments Reviews: Last Week in Markets—June 16 - June 20

In the US, May retail sales fell 0.9% m/m and increased 3.3% y/y, below estimates. May industrial production decreased 0.2% m/m and increased 0.6% y/y, while manufacturing production increased 0.1% m/m and 0.5% y/y. The Federal Reserve kept the federal funds rate steady at 4.25 – 4.5%, in line with expectations.

In the UK, May consumer inflation increased 0.2% m/m and 3.4% y/y, in line with expectations. May core consumer inflation (which excludes energy, food, alcohol, and tobacco) increased 0.2% m/m and 3.5% y/y. May retail sales fell 2.7% m/m and 1.3% y/y. The Bank of England kept its Bank Rate steady at 4.25%, as expected. In the eurozone, May consumer inflation increased 1.9% y/y, while core consumer inflation increased 2.3% y/y, matching forecasts.

In Japan, April retail sales fell 3.9% y/y. May consumer inflation increased 3.5% y/y, while core-core consumer inflation (excluding fresh food and energy) increased 3.3% y/y. May preliminary imports and exports fell 1.7% and 7.7%, respectively. The Bank of Japan left its policy rate unchanged at 0.5%. In China, May retail sales increased 6.4% y/y.

The Week Ahead

The US, UK, eurozone and Japan release preliminary June Purchasing Managers’ Indexes (PMIs). The US reports its third estimate of Q1 2025 GDP and May preliminary durable goods orders. Japan releases May unemployment and preliminary retail sales.

Tip of the Week

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.