The last month of summer has arrived and markets are fine, Chinese markets are stabilizing after a difficult July, while Europe is returning to the bathroom as vaccine deployment continues. dollar infrastructure bill, while another 150 S corporations are awaiting a resolution on a trillion-dollar infrastructure bill.
But first, a summary of the GDP figures for the current quarter, which show how the speed of economic recovery in the EU and the US is a good thing. As vaccination programs continue in Europe and the U. S. ,U. S. , It’s dealing with the headwinds for recovery.
Euro zone GDP increased by up to 13. 7% compared to the same quarter last year; while the economy grew by 2% compared to the last quarter, surpassing the expected accumulation of 1. 5%. The main winners were southern Europe, with Italy and Spain emerging with 2. 7% and 2. 8% respectively, while Germany lagged behind, emerging with only 1. 5%. %.
But inflation is rising, accelerating to the 2. 2% expected in July, according to Eurostat, beating the European Central Bank’s forecast of a 2% increase.
Meanwhile, the expansion of US GDPIt has not been as strong as expected. But expansion has made U. S. production a. . . The US is back above its pre-pandemic point for the first time since covid-19 began, and it should be remembered that the contraction of COVID-19 in the EU has been much more powerful, and economists expect a strong expansion for the rest of the year.
Meanwhile, China has been at the height of its regulatory crackdown on personal corporations that produced, at one point, a $1,500 billion percentage sell-out. The COVID-19 outbreak that began in Nanjing continues to spread.
Now let’s see what’s moving the markets this morning.
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August is expected to be a better month for Asian markets compared to July, as there are early morning signs that sentiment has started to stabilize: the Hang Seng index rose 0. 89% today, the Shanghai composite rose 1. 97%, and the Shenzhen composite rose 2. 25%. %.
China’s official production expansion index (PMI) rose from 50. 9 to 50. 4 in July, its lowest point since China’s pandemic-related restrictions peaked in February 2020. Indonesia, Thailand, Vietnam and the Philippines also released PMI figures below analysts’ expectations. with a new wave of infections
More and more regions of Japan went into a state of emergency over COVID-19 on Monday due to a surge in virus cases, this comes after a strong July, with Jibun’s final production PMI rising for the month thanks to more powerful commercial production. It also closed the day up 1. 82%.
Chinese vehicle maker Xpeng saw its shares rise more than 11% after the company recorded a record number of cars delivered in July.
European stocks opened at the top this morning with the FTSE hundred rising 0. 87% in morning trading, while the Stoxx Europe 600 also rose 0. 62% this morning.
Meanwhile, in France, the lobby of automakers CCFA-PFA said global semiconductor shortages and a resurgence of infections would hamper the recovery of the French auto market.
In news of mergers and acquisitions, U. S. trading company Parker-Hannifin said it had agreed to buy British rival Meggitt for 6,300 million pounds ($8,800 million), causing Meggit’s shares to rise 57%.
The decline in COVID-19 instances of the Delta variant in the UK continues, falling to almost part of its July peak, while the government has also announced its goal of administering booster injections to an additional 32 million people over the age of 50. The% of the adult population gained at least one dose and 72. 5% gained two.
In U. S. futures, The Nasdaq 100, the S
The $1,000 billing infrastructure bill appears to be making steady progress after senators agreed to the text of a bipartisan bill they expect to vote on until the end of the week.
Friday’s U. S. employment report U. S. It will be noteworthy, and Fed Chairman Jerome Powell noted at last week’s press conference that the country’s hard labor market still has “a long way to go,” with solid unemployment at 5. 9%, though he added that the U. S. U. S. He has learned to “manage” more COVID-19 outbreaks with fewer economic consequences.
The Fed also signaled last week that it planned to cut its pandemic-buying program later this year, but money markets ignored the announcement. 10-year U. S. Treasuries ended the week down 5. 4 bps.
Gold is down from its weekend high, at $1. 807/ounce.
The dollar rose to 92. 09.
Crude oil has fallen with Brent still below $75 a barrel.
Bitcoin is falling, below $40,000.
This story originally appeared in Fortune. com