Economy
Swiss inflation accelerates to 0.8% in August on energy price gains
August CPI rose from 0.4% in July, driven by higher energy and rental costs, reversing months of cooling price growth.
Eurozone business activity steady in August as services slow
Eurozone composite PMI held at 52.0 in August, matching July’s eight-month high, while services activity slipped to a two-month low. Germany led regional growth, France remained in contraction.
European and Aussie bond yields retreat from multi-year highs
Germany and France saw two- and 10-year yields ease after seven-session climb; Australia’s 10-year yield slips from 15-year peak. U.S. private payrolls miss forecasts.
Swiss inflation rises to 0.8% in August on energy cost surge
Consumer prices increased from 0.4% in July, driven by higher gasoline, diesel and heating oil costs amid Middle East tensions. Residential rents also climbed.
Italy's services sector posts fastest growth in 3.5 years in August
S&P Global Italy Services PMI rose to 55.2 in August, the highest since April 2023, as domestic demand surged while export growth remained modest. Input costs accelerated amid energy and commodity price pressures.
French services sector contracts for second month in August as PMI falls to 48.0
French service-sector activity shrank at an accelerated pace in August, with the PMI declining to 48.0 from 49.6 in July. New orders and employment also declined, while input costs rose sharply.
Germany's services sector edges closer to growth in August
Germany's services PMI rose to 49.7 in August, while composite output PMI climbed to a five-month high of 51.8, signaling tentative recovery amid rising costs and export gains.
Swiss Q2 GDP growth fastest in nearly five years at 1.5%
Swiss economic expansion accelerated to 1.5% in Q2 2026, driven by a surge in pharmaceutical exports, while services saw broad-based but modest gains. Inflation pressures and geopolitical risks remain key concerns.
ECB’s Vujčić highlights role of household expectations in monetary policy
Vice-President cites ECB’s Consumer Expectations Survey as critical tool for tracking inflation perceptions, spending plans and policy transmission amid geopolitical uncertainty.
Magnitude 5.7 earthquake strikes Papua New Guinea, GFZ reports
Shallow quake hits eastern Papua New Guinea, according to German Research Centre for Geosciences. No immediate tsunami warning issued.
JPMorgan strategist links bond yield rise to AI-driven productivity gains
AI investment surge boosts corporate borrowing and long-term yields, JPMorgan's U.S. head of investment strategy says. Semiconductor sector correction masks underlying growth potential.
Boston Fed's Collins flags 'mixed' U.S. inflation readings at Jackson Hole
Boston Federal Reserve President Susan Collins says July PCE data shows uneven price pressures, with some signs of easing but lingering risks. Fed policy remains data-dependent as officials assess disinflation progress.
Boston Fed's Collins flags mixed inflation, keeps rate hike option open
U.S. inflation data showed divergent trends in July, with headline PCE rising 3.7% while core pressures eased toward the Fed's 2% target. Boston Fed President Susan Collins said policy remains data-dependent amid rising Treasury yields.
Brazil central government posts R$10.78 bln primary surplus in July
Surplus exceeds July 2025 deficit and matches median Reuters poll forecast; central government accounts include Treasury, Central Bank and Social Security.
Michigan sentiment, Jackson Hole to headline Friday's data docket
Consumer confidence and the annual Fed symposium in Wyoming headline a busy Friday for U.S. economic data and policy signals.
Fed’s Hammack sees inflation easing slowly, rate hike still likely
Federal Reserve Bank of Cleveland President Beth Hammack forecasts U.S. inflation at around 3% by year-end, with limited progress toward the 2% target in 2025. She signals a rate hike remains on the table to address price pressures.
Brazil DI rates pare after jobs data but curve rises on hawkish Fed tone
Short-term Brazilian interbank deposit rates slipped after July job creation undershot forecasts, but the curve steepened as Fed Chair Kevin Warsh signaled a hawkish stance at Jackson Hole.
ECB faces dilemma as rate hike risks fueling market turmoil
A 25-basis-point hike expected next week tests the ECB's balancing act between persistent inflation and financial stability amid rising bond yields and debt concerns.
AI-driven borrowing fuels bond market optimism, JPMorgan says
Rising long-term yields may reflect expectations of AI productivity gains rather than inflation concerns, as AI-related debt issuance surges to $220 billion. JPMorgan Private Bank favors shorter-duration credit amid hawkish rate pricing.
Warsh’s Jackson Hole speech to scrutinize Trump-era inflation legacy
Former Fed chief Kevin Warsh’s upcoming Jackson Hole remarks may reframe the debate over U.S. inflation under President Donald Trump, as markets weigh policy credibility and election-year pressures.
Fed’s Hammack sees inflation at 3% by end-2026, gradual decline in 2027
Federal Reserve Bank of Cleveland President Beth Hammack projects U.S. inflation will ease to around 3% by year-end 2026, with limited further progress toward the 2% target in 2027.
Fed’s Warsh signals resolve on inflation but leaves rate path unclear
Investors welcomed clearer inflation guidance from Federal Reserve Chair Kevin Warsh, though uncertainty persists over whether the central bank will raise rates in September. Treasury yields and rate-hike odds rose after his Jackson Hole remarks.
ECB’s Kocher says euro zone economy showing signs of momentum
Austrian central bank chief cites resilience in growth despite inflation pressures and geopolitical drags. ECB policy path remains data-dependent amid Jackson Hole remarks.
Warsh signals subtle shift in Fed guidance at Jackson Hole
Federal Reserve Chair Kevin Warsh outlines a more measured approach to policy communication while emphasizing inflation progress. Markets parse signals ahead of September decision.
HSBC sees 5% Treasury yield as key threshold for equities
HSBC warns sustained rise in 10-year Treasury yield above 5% could pressure stock valuations, though current levels remain below that level. Financials, energy and industrials favored if rates stay elevated.