Fisher Investments Reviews: Last Week in Markets — October 12 - October 16

In the US, September consumer inflation accelerated to 0.6% m/m and 3.7% y/y. September core consumer inflation (excluding food and energy) was 0.3% m/m and accelerated to 2.6% y/y, both above expectations. September industrial production increased 0.7% m/m and 2.2% y/y, surpassing forecasts. September manufacturing production grew 0.3% m/m and 1.1% y/y. September retail sales grew 0.8% m/m and 6.3% y/y, higher than consensus estimates.

In the UK, August GDP grew 0.1% m/m and 2.1% y/y. August industrial production increased 0.8% m/m and 1.6% y/y, surpassing forecasts. August manufacturing production grew 1.2% m/m and 3.0% y/y, higher than estimates. In the eurozone, September consumer inflation remained steady at 3.8% y/y. September core consumer inflation (which excludes energy, food, alcohol, and tobacco) also remained unchanged at 2.5% y/y. August industrial production decreased 0.5% m/m and 1.1% y/y, lower than forecasts.

In Japan, the final estimate of August industrial production showed a decrease of 2.4% m/m and an increase of 2.7% y/y. August retail sales grew 2.9% y/y. September bank loans increased 5.3% y/y, falling below expectations. In China, September consumer inflation decelerated to 0.2% m/m and accelerated to 0.9% y/y. September money supply (M2) increased 7.2% y/y, lower than forecasts. September loan growth increased 4.8% y/y, exceeding expectations. September imports and exports rose 31.0% y/y and 36.3% y/y, respectively, both well above consensus forecasts.

The Week Ahead:

The US, UK, eurozone and Japan report on October Purchasing Managers’ Indexes (PMIs). China reports Q3 GDP. Japan reports on September trade data. The UK and Japan report on September consumer inflation. The UK and China report of September retail sales. 

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.