Charting the global economy: China's economic woes pile up, US consumer spending loses steam

economictimes.indiatimes.com:

inflation cooled in the US and quickened in Europe, according to the latest readings, while central bankers in both regions signaled they’re prepared to raise interest rates further. In China, where the economy was expected to stage a huge rebound this year, the problems just keep piling up. On top of weak consumer spending and a housing slump, holiday tourism moderated last month and industrial profits are still plunging. Here are some of the charts that appeared on Bloomberg this week on the latest developments in the global economy:

US consumer spending — the economy’s main engine — has lost steam for most of this year, portending weaker growth ahead while also helping to cool inflation. That weakness contrasts with recent data that have otherwise painted a picture of a resilient economy rather than one on the brink of recession. Canadian inflation slowed to its weakest pace in two years and core measures edged lower, reducing — but not removing — pressure on the central bank for another interest-rate hike this month. Policymakers could be forced to raise rates again for the second straight month in July if gross domestic product and jobs figures still point to an overheated economy.

Euro-area core inflation accelerated in June to an annual gain of 5.4% from 5.3% in the prior month as the cost of services picked up markedly. With inflation initially driven by shocks including the pandemic and Russia’s war in Ukraine, concerns now center around strong demand for services such as travel, and accelerating wage gains to make up for lost income. Germany’s business outlook deteriorated to the lowest seen this year, evidence that Europe’s biggest economy is struggling to cement a recovery after a recent