In the fourth quarter of last year (4th quarter) real US gross domestic product (GDP) slowed from the previous quarter, but growth exceeded market expectations. As a result, there is widespread speculation that the Fed still has a way to go to achieve a soft landing. But consumer spending was weaker than expected, suggesting recession risks remain. It is likely that the financial authorities will continue to face difficult challenges for the foreseeable future. Here are five news items to keep in mind as you start your day.
mixed strength
October-December real ricePreliminary GDP increased by 2.9% year-on-year from the previous quarter. Although the increase was faster than market expectations (2.6% increase), it slowed from the 3.2% increase in the third quarter (July-September). About half of GDP growth is the result of inventory accumulation. Consumer spending, the bulk of the US economy, rose 2.1%, lower than expected (2.9%). The Personal Consumption Expenditure (PCE) price index, the central bank’s main price indicator, rose 3.2% annually. This was the slowest growth since 2020, slowing from a 4.3% increase in the previous quarter.
Advance discussions
France’s Renault and Nissan Motor have made progress in talks to strengthen their corporate alliance, which has continued for more than 20 years. In line with the equalization of the capital relationshipWe also run many collaborative projects. This was confirmed by a number of people familiar with the matter. Executives from Renault and Nissan will hold an alliance executive board on the 26th to discuss issues related to the alliance, according to people familiar with the matter. In addition to equalizing the share ratios held by the two companies, he approved the launch of multiple joint projects as new collaborative projects.
Inflation and wages target
In order to keep inflation above the Bank of Japan’s target of 2%, Japan’s nominal wages mustA 3% increase is needed, said Gopinath, the first deputy managing director of the International Monetary Fund (IMF). In an interview in Tokyo, he said wages were the key to keeping inflation above 2%, despite downside risks to inflation and rising inflation expectations. “If wage increases are realized, they will drive the pressure in terms of costs that businesses will pass on,” he said.
still room to rise
Many strategists, including JPMorgan Chase & Co. and Morgan Stanley, turning bearish on US equities. But the Deutsche Bank strategists are not taking it. The team, led by Binky Chadha, expects the S&P 500 index to rise by around 12% from current levels by the end of March.We believe it will rise to 4500. “There are several reasons to believe that, despite the sharp declines in some leading indicators and the warnings, they continue to delay the expected timing of the recession,” the team said. . He cited strong household and corporate balance sheets and excess savings.
A fine of $1 million
Morgan Stanley has filed a maximum penalty of more than $1 million per employee for violating rules by using communication apps such as WhatsApp at work.fine The fine will either refund previous bonuses or be deducted from future pay, said a person familiar with the matter, who asked not to be named because the information is private. Last year, a major bank was hit with huge fines by US regulators for failing to monitor employee messages on unlicensed communications apps.
Another hot news
[Safbwynt]The yen carried a trade revival halfway through
Sato, 53 years old, as the new president of Toyota, “Evolving cars” – Ev shift approaching
US apartment rents slow to slowest growth since 2021;
