US core capital goods orders increase in February
New orders for key US-manufactured capital goods increased more than expected in February, but data for the prior month was revised sharply lower, suggesting some moderation in business spending on equipment in the first quarter. (The Edge Malaysia)
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US service sector cools in March, inflation heating up amid Iran war
U.S. services sector growth slowed in March, while prices paid by businesses for inputs increased by the most in more than 13 years, an early indication that the prolonged war with Iran was boosting inflation pressures. The Institute for Supply Management survey on Monday also showed services employment dropping to the lowest level since the end of 2023, which probably understates the health of the labor market as government data last Friday showed a sharp rebound in job growth. (Reuters)
Trump will impose 100.0% tariff on some patented drugs
The Trump administration will impose tariffs of as much as 100.0% on certain imported medicines, albeit with several major exemptions, a manoeuvre to pressure drugmakers to manufacture more in the US. (The Edge Malaysia)
IMF says Fed has little scope for interest-rate cuts this year
While US inflation is on course to return to the Federal Reserve’s 2.0% target in the first half of next year, policymakers have little room to cut interest rates this year, according to the International Monetary Fund. (The Edge Malaysia)
US companies add 62,000 jobs, led by healthcare, says ADP
US companies added more jobs than expected last month, suggesting the labour market may be stabilising. Private-sector payrolls increased by 62,000 in March after a similar advance in the prior month, according to ADP Research data out on Wednesday. (The Edge Malaysia)
Canada reports modest economic growth in January
The Canadian economy eked out modest growth in January, with monthly gross domestic product rising slightly as strength in most goods-producing industries offset lingering manufacturing weakness, data showed on Tuesday. GDP rose by 0.1% in January on a monthly basis after a 0.2% gain in December, Statistics Canada said, pointing to a fragile start to the year. (Reuters)
Powell says longer-term inflation expectations remain in check
Federal Reserve chair Jerome Powell said longer-term inflation expectations appear to be in check but that the central bank is carefully monitoring them as it assesses the effect from the US and Israel’s war against Iran. Inflation expectations seem to be “well-anchored beyond the short term”, Powell said on Monday during an event at Harvard University in Cambridge, Massachusetts. (The Edge Malaysia)
US consumer sentiment slips to a three-month low in March
US consumer sentiment eased to a three-month low in March as war in the Middle East boosted oil prices and unleashed volatility on financial markets, raising concerns about the economy’s prospects, a survey showed on Friday. (The Edge Malaysia)