November 10, 2022
US Inflation Slows More Than Forecast, Gives Fed Downshift Room
A key gauge of US inflation cooled in October by more than forecast, offering hope that the fastest price increases in decades are ebbing and giving Federal Reserve officials room to slow down their steep interest-rate hikes.
The core consumer price index, which excludes food and energy, increased 0.3% from the prior month, Labor Department data showed Thursday. Compared with a year earlier, the core measure decelerated from a four-decade high in September to 6.3%.
European Stocks Surge as US Inflation Slows More Than Estimated
European stocks surged after US inflation rose in October by less than projected, fueling optimism that the Federal Reserve can slow the pace of rate increases.
The Stoxx Europe 600 index jumped 2% by 1:38 p.m. in London. Technology shares advanced as bond yields retreated. Utilities rose, while health care was boosted by AstraZeneca Plc’s third-quarter earnings beat.
Weak Yen Unravels Japan’s Quest for Foreign Workers
The yen’s recent slump has taken the sheen off Japan as a destination for foreign workers, a worrying sign for an aging economy in desperate need of more people to keep its factories, farms and care homes running.
Japan’s government, which historically maintained low rates of immigration, has gradually opened the door to overseas workers in recent years to make up for the dwindling population. As a result, the number of workers from overseas tripled in just over a decade to around 1.7 million by 2019, with Vietnam becoming the largest source of foreign workers in jobs from agriculture and manufacturing to IT.
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