The global economy is experiencing a surge in activity, with OPEC+ set to approve another output hike for November and China’s industrial profits rising sharply in August. Meanwhile, the UK labour market has cooled further, according to surveys, and the US government shutdown continues to weigh on markets. In this blog post, we will provide an in-depth analysis of these developments and their implications for the global economy.

OPEC+ Output Hike
The Organization of the Petroleum Exporting Countries (OPEC) is expected to approve another output hike for November, according to a report by Reuters. This comes after the organization’s October meeting resulted in a surprise decision to increase oil production, citing improved demand and supply chain disruptions. The move is seen as a bid to stabilize oil prices, which have been volatile in recent months due to geopolitical tensions and supply chain issues.

China Industrial Profits
China’s industrial profits rose sharply in August, according to data released by the National Bureau of Statistics. The jump in profits was driven by increased production and sales in key sectors such as manufacturing, mining, and utilities. This marks a significant improvement from the previous month, when profits had fallen due to the COVID-19 pandemic and other factors.

UK Labour Market
The UK labour market has cooled further, according to surveys conducted by the Recruitment and Employment Confederation (REC) and ManpowerGroup. The REC’s latest report showed a decrease in permanent placements and temporary billings, while the ManpowerGroup survey revealed a decline in employer optimism about the future of their businesses. This suggests that the UK economy may be experiencing a slowdown in growth, which could have implications for the broader global economy.

US Government Shutdown
The US government shutdown continues to weigh on markets, with no clear end in sight. The shutdown has resulted in furloughed workers and closed agencies, causing disruptions to various sectors of the economy. This has led to concerns about the impact on economic growth and financial stability, as well as the potential for a longer-term slowdown in the US economy.

The global economy is experiencing a mix of positive and negative developments. While OPEC+ is set to approve another output hike and China’s industrial profits are rising, the UK labour market has cooled further and the US government shutdown continues to weigh on markets. As always, it is important to stay informed about these and other economic trends in order to make informed investment decisions.