Charting the Global Economy: U.S., Europe Breaking Free of Virus
(Bloomberg) -- Service providers and manufacturers on both sides of the Atlantic are exhibiting robust rates of growth as the U.S. and European economies escape the clutches of the pandemic.
While the labor market in the U.K. stirs to life, elevated coronavirus infections are damaging India’s. Japanese exporters, meanwhile, are benefiting from robust demand in other parts of the globe where recoveries are gaining strength.
Here are some of the charts that appeared on Bloomberg this week on the latest developments in the global economy:
A measure of output at manufacturers and service providers advanced to a fresh record in May, underscoring solid demand that’s contributing to added inflationary pressures.
Inflationary pressures are building further as firms expect to charge higher prices and boost worker pay, according to a regional Federal Reserve Bank report. The Philadelphia Fed’s latest survey of factories showed that producers’ accelerating input costs helped drive the May index of prices received to its highest level in 40 years.
More than 20 states have announced plans to scrap the payment of beefed-up federal unemployment benefits as Republican governors respond to comments from businesses that the assistance is discouraging a return to the workforce.
The euro area’s economic recovery is increasingly being supported by a rebound in services as factories confront a supply squeeze that is pushing up costs.
The U.K. added almost 100,000 employee payrolls in April as companies prepared for the ending of coronavirus restrictions.
For the first time in decades, some towns outside of Spain’s main urban centers are counting more people arriving than leaving, as stay-at-home restrictions and worries about the spread of the coronavirus spur demand for more spacious living conditions and locations closer to nature.
Russians’ real disposable incomes have slumped to the lowest since 2009, according to calculations by the Bank of Finland Institute for Emerging Economies, as the coronavirus crisis added pressure to an already stagnating economy.
Japanese exports jumped again, climbing in April by more than a third from last year’s dismal level, as recovering global trade gave a needed boost to an economy that’s stalling at home amid new waves of the coronavirus.
India’s rural unemployment rate doubled in the week to May 16, data from private research firm Centre for Monitoring Indian Economy Pvt. showed, amid activity curbs imposed by provincial governments to control the second wave of the pandemic. Lockdowns may deepen economic distress by crimping consumption at a time when migrant workers are fleeing urban centers for their rural homes.
The world’s biggest companies, already thriving before the pandemic hit, have become all the more successful thanks to Covid-19. That’s one of the takeaways from a Bloomberg Economics study of the biggest firms around the world, measured by stock-market capitalization, over the past three decades.
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