FocusEconomics

Central Bank cuts rates in November Mexico: At its meeting on 5 November, the Central Bank reduced the target for the overnight interbank interest rate by 25 basis points to 6.25%, effective 6 November, bringing total cuts since early 2024 to 500 basis points.

Unemployment rate rises in Q3 Spain: The unemployment rate rose to 10.2% in Q3 from 9.9% in Q2. The number of unemployed increased by 95,900 from Q2, the sharpest quarterly rise in a decade—excluding the pandemic-distorted figures of 2020—bringing total unemployment to 2.6 million. Meanwhile, employment grew by 73,600 to a total of 22.9 million. This expansion was largely driven by an influx of foreign workers following the one-off migrant regularization scheme approved in April. Job creation was heavily concentrated in the services sector, while agriculture, industry and construction experienced contractions. Ultimately, employment gains failed to absorb the labor force increase of 169,500, which pushed the active population to 25.4 million, driving the uptick in the unemployment rate.

Central Bank hikes rates in November United Kingdom: On 5 November, the Central Bank (BOE) voted to increase the Bank rate to 4.00% after remaining on hold so far this year.

Inflation accelerates in October from the prior month Euro Area: Harmonized consumer prices increased 4.0% on a year-on-year basis in October, following a 3.8% rise in the prior month. October's reading was the strongest since September 2023. Relative to the previous month's data, there were higher price pressures for food, alcohol and tobacco (+1.6% on a year-on-year basis vs +1.3% in September), energy prices (+20.8% vs +18.9% in September) and services (+3.3% vs +3.2% in September). Finally, the variation in non-energy industrial goods prices was the same as in the prior month (+1.2% in October and September). Meanwhile, core consumer prices rose 2.6% on a year-on-year basis in October, following a 2.5% increase in the prior month. Finally, harmonized consumer prices were up 0.44% in October in month-on-month terms, following a 0.61% increase in the prior month.

Inflation ebbs in October from September Korea: Consumer prices increased 2.8% on a year-on-year basis in October, following a 2.9% rise in the prior month. Relative to the previous month's data, there were reduced price pressures for transportation (+6.8% on a year-on-year basis vs +7.7% in September), food and non-alcoholic beverages (+0.5% vs +1.0% in September), recreation and culture (+5.1% vs +5.8% in September) and clothing and footwear (+2.4% vs +2.8% in September). In contrast, price pressures were higher for housing and utilities in October (+2.0% vs +1.9% in September). Meanwhile, core consumer prices rose 2.8% in annual terms in October, unchanged from the prior month's reading. Finally, consumer prices increased 0.25% in October in month-on-month terms, following a 0.32% rise in the previous month.

Merchandise trade surplus widens in October Vietnam: In October, the trade balance was USD +7.3 billion, following a USD +1.3 billion reading in the prior month. Over the last 12 months, the trade balance summed to USD -9.9 billion. Merchandise exports were up 53.8% in annual terms in October, following 39.5% growth in the previous month. October's reading was the strongest since January 2021. Merchandise imports were up 45.4% in annual terms in October, coming on the back of 46.2% growth in the previous month.

Industrial production decelerates in October Vietnam: Industrial production was up 15.0% on a year-on-year basis in October, following a 16.7% rise in the previous month. Relative to the previous month's data, readings in October softened for manufacturing (+15.7% on a year-on-year basis vs +17.1% in September), mining and quarrying (+4.9% vs +13.3% in September) and water supply (+7.8% vs +10.3% in September). In contrast, the reading for electricity improved in October (+15.7% vs +15.5% in September).

Inflation is unchanged in October Vietnam: Consumer prices were up 5.1% on a year-on-year basis in October, stable from the prior month's reading. Relative to the previous month's figures, price pressures were higher for transportation in October (+13.6% on a year-on-year basis vs +9.7% in September). In contrast, there were reduced price pressures for food (+2.5% vs +3.5% in September) and education (+9.4% vs +9.6% in September). Finally, the variation in housing and construction materials prices was the same as in the prior month (+5.2% in October and September). Finally, consumer prices rose 0.20% in October in month-on-month terms, following a 0.62% increase in the previous month.

Merchandise trade surplus narrows in October Korea: In October, the trade balance was USD +42.5 billion, following a USD +50.0 billion reading in the previous month. Over the last 12 months, the trade balance summed to USD +316.5 billion. Merchandise exports increased 93.7% in annual terms in October, coming on the back of 83.7% growth in the previous month. Merchandise imports were up 36.0% in annual terms in October, coming on the back of a 26.0% increase in the previous month. October's reading was the strongest since January 2022.

Inflation decelerates in October from the prior month Indonesia: Consumer prices rose 3.2% on a year-on-year basis in October, following a 3.3% increase in the prior month and remaining within Bank Indonesia’s 1.5–3.5% target range. Relative to the prior month's figures, there were reduced price pressures for personal care (4.5% vs 7.8%). In contrast, there were more notable price pressures for housing, water, electricity and household fuels (+1.1% vs +1.0% in September), transport (+4.9% vs +4.8% in September) and food, beverages and tobacco (+4.8% vs +4.4% in September). Meanwhile, the change in recreation and entertainment prices was the same as in the prior month (+1.8% in October and September). Core consumer prices rose 2.6% on a year-on-year basis in October, following a 2.8% rise in the previous month. Finally, consumer prices were up 0.22% in October on a month-on-month basis, following a 0.30% rise in the previous month.