European banks have accumulated about $1.2 trillion in bad and non-performing loans (NPLs) that have continued weighing down heavily on their balance sheets. Italian banks are sitting on the biggest pile of bad debt: €224.2B ($255.9B), with NPLs and advances making up nearly a quarter of all loans

Source: SafeHeaven.com

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U.S. Durable Goods

Durable goods orders slumped in October, a sign that investment is likely cooling despite above- trend growth in consumer demand and indications that the economy is hitting capacity constraints

One of the big questions facing policy makers is whether economic growth will remain above-trend as the boost to demand from tax cuts fades and interest rates continue to rise

Japan National Inflation

Japan’s core inflation remained stalled at 1.0% in October. As we have argued, there’s little reason to expect it to pick up much from here — especially with oil prices now in retreat

With inflation stuck halfway to target, we think the Bank of Japan will have to keep up its stimulus, while keeping a wary eye on the financial imbalances it’s generating

Eurozone Markit PMI Manufacturing

The euro-area economy stumbled again this month, with a key indicator falling to the lowest in four years, denting expectations for an economic pickup after a summer slowdown

The figures will be another disappointment for European Central Bank policy makers, who are counting on a rebound this quarter as they prepare to start unwinding stimulus. They’ve acknowledged “fragilities’’ in the economy, but are holding to the line that the broad-based expansion remains intact

soruce: Bloomberg

Important News

  • OECD released its latest economic forecasts, warning of the effects the US-China trade war could have on global growth. It expects global growth to fall from 3.7% in 2018 to 3.5% in 2019 and 2020
  • Tesla is to cut the price of its cars in China so as to absorb the impact of tariffs from the US-China trade war. The carmaker said on Thursday that it will cut prices of its Model X and Model S cars in China by 12% to 26%

source: Bloomberg

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