The first of the month brings an avalanche of data, but we aren’t going to have to wait for that, the last day of October is brining it!
Of most note are the Tokyo CPI data and Chinese official PMIs.
Tokyo area October inflation data is expected to remain fairly steady from September.
- National-level CPI data for this month will follow in about three weeks, it takes longer to gather and collate the national data.
- Tokyo CPI is a sub-index of the national CPI
- It measures the change in prices of goods and services in the Tokyo metropolitan area
- Its considered a leading indicator of national CPI trends because Tokyo is the largest city in Japan and is a major economic hub
- Historically, Tokyo CPI data has been just slightly higher than national Japan CPI data. The cost of living in Tokyo is a touch higher than in most other parts of Japan. Higher rents, for example
I have posted the above info before, doing so again ICYMI.
–
The official PMIs due from China are expected to show a little lower for manufacturing and steady for non-manufacturing.
China has two primary Purchasing Managers’ Index (PMI) surveys – the official PMI released by the National Bureau of Statistics (NBS) and the Rating Dog China PMI published by Markit / S&P Global.
- The official PMI survey covers large and state-owned companies, while the Caixin PMI survey covers more small and medium-sized enterprises. As a result, the Caixin PMI is considered to be a more reliable indicator of the performance of China’s private sector.
- Another difference between the two surveys is their methodology. The Caixin PMI survey uses a broader sample of companies than the official survey. Despite these differences, the two surveys often provide similar readings on China’s manufacturing sector.
This article was written by Eamonn Sheridan at investinglive.com.