More ominous economic news greets you this morning in MetalCrawler. Stock markets continued to fall, globally, while US unemployment unexpectedly jumped.
Growth Slowing Worldwide
Economic growth is losing momentum across emerging and developed economies as is inflation. China’s slowing economy is now the biggest worry for 2016, according to the overwhelming majority of hundreds of economists polled by Reuters around the world.
That comes despite several trillion dollars’ worth of stimulus and ultra-easy monetary policy from major central banks over the last half decade, and coincides with a growing sense of fear that is gripping world financial markets.
The benchmark S&P 500 US stock index closed below 1,900 for the first time since September on Wednesday, crude oil prices have fallen over 70% since mid-2014 to below $30 a barrel and US 10-year Treasury bond yields are back to two-month lows.
US Jobless Claims Rise
The number of applications for unemployment benefits unexpectedly increased last week, a sign labor market momentum may be starting to cool.
Initial jobless claims rose by 7,000 to 284,000 in the week ended Jan. 9, the second-highest level since July, a report from the Labor Department showed on Thursday. The median forecast in a Bloomberg survey of economists called for a decline to 275,000.