|
|
|
|
|
|
|
|
May Jobs Growth Puts U.S. on a Strong Hiring Streak
|
|
|
- The U.S. added 172,000 jobs in May, exceeding expectations and signaling a steady labor market recovery from last fall and winter.
- Strong hiring and rising inflation led traders to increase bets on a Federal Reserve interest-rate hike by year-end; stocks fell across sectors.
- The share of long-term unemployed rose to 27.5% in May, while average hourly earnings cooled; S&P 500 companies saw 29% Q1 earnings growth.
|
|
|
ECB Expected to Be First Among Peers to Raise Key Rate in Response to Conflict
|
|
|
- The European Central Bank is set to raise its key interest rate Thursday, the first increase in three years, due to higher energy prices.
- Economists expect the European Central Bank to raise its key rate twice, taking it to 2.75% from 2%.
- The eurozone economy contracted in the first quarter, risking recession, while annual inflation rose to 3.2% in May.
|
|
Japan Rate-Hike Hopes Intact Despite Growth Miss
|
|
|
- The Bank of Japan is widely expected to raise interest rates this month to mitigate rising costs and accelerating inflation.
- Japan’s economy grew at an annualized 1.8% in the first quarter, revised down from a preliminary 2.1% estimate.
- Economists expect higher energy prices and uncertainty to limit consumption and investment, dampening corporate earnings.
|
|
German Factory Orders Fell Back in April as Iran War Damps Demand
|
|
|
- German manufacturing orders fell 3.8% in April, the first decline since January, amid weak demand and uncertainty from the war in Iran.
- Sharply higher energy costs from the Middle East conflict threaten Germany’s industrial recovery, despite a more-than $1 trillion fiscal stimulus.
- A senior economist expects the German economy to contract slightly in the second quarter, after eurozone GDP fell 0.2% in the first quarter.
|
|
China Auto Sales Stayed Weak in May
|
|
|
- China’s auto market weakened further in May, with retail passenger car sales falling 22.1% from a year earlier.
- Rising oil prices dented demand for gasoline-powered cars, helping electric and plug-in hybrids capture a record 62.9% of sales.
- Chinese automakers expanded overseas, exporting 784,000 vehicles in May; new-energy vehicles accounted for 54% of exports.
|
|
The World’s Most Surprising Economic Success Story Is…North Korea
|
|
|
- North Korea’s economy is flourishing, aided by arms sales and troop deployments to Russia, and supplies and financing from China.
- Pyongyang has seen significant development, including new services, Chinese electric vehicles, and a construction boom.
- The economic growth, estimated at 3.7% in 2024, is the fastest in eight years and dims hope for a U.S. nuclear deal.
|
|
|
About Us
|
|
WSJ Pro Central Banking brings you news and analysis from a global team of reporters and editors at The Wall Street Journal and Dow Jones Newswires. Send your tips, suggestions and feedback to service@dowjones.com. An artificial-intelligence tool created these summaries, which are based on the text of the article and checked by an editor. Read more about how we use artificial intelligence in our journalism.
|
|
|
|
Access WSJ.com and our mobile apps.
Subscribe
|
|
|
