Key economic indicators
Global investors should monitor economic indicators to understand the condition of the global economy (ACWI) (VTI). Indicators are important because they shed light on a country’s economic health. They help investors identify short-term economic trends and changes in Market sentiments.
Important global indicators released last week include the following:
- Germany’s Ifo Business Climate Index
- US Conference Board Consumer Confidence Index
- FOMC (Federal Open Market Committee) statement
- Bank of Japan’s new stimulus program
- gradual fall in crude oil prices
- Japan’s retail sales
- US preliminary second-quarter GDP
- Markit Flash US Services PMI (Purchasing Managers’ Index)
In this series, we’ll take a look at some of last week’s key economic indicators, including Germany’s (EWG) Ifo business climate. It improved in July 2016 but remained lower than June 2016. We’ll also look at the US (SPY) (QQQ) consumer confidence for July.
Then we’ll take a look at the FOMC statement and the statement from the Bank of Japan. We’ll also discuss the recent fall in crude oil prices (USO) (BNO), Japan’s (EWJ) (DXJ) retail sales for July, the US (IWM) GDP, and the Flash US Services PMI.
Let’s start by analyzing the German Ifo business climate performance in July 2016.