A day of significant global developments is underway, as a data blackout in Washington forces economists to become digital detectives, a deep and painful industrial crisis grips Argentina, and a fresh wave of anxiety over the health of the US banking sector sends a chill through Asian markets.
Here’s your one-stop stand to catch up on all the headlines you may have missed.
US weekly jobless claims fall, top banks estimate amid a government data blackout
The number of Americans filing new applications for jobless benefits fell last week to a seasonally adjusted 217,000, according to new estimates from economists at JPMorgan and Goldman Sachs.
The dueling analyses are a necessity in a market flying blind, as the US government shutdown, now in its third week, has halted the publication of official economic data.
While states have continued to collect the data, economists are now forced to use their own seasonal adjustment factors to make estimates. The figures suggest a still-resilient labor market, though one that has seen lackluster hiring in recent months.
Argentina’s industry is ‘about to go bankrupt’ as a crisis deepens under Milei
The factory floor used to roar. Now, it is silent. Almost two years after the libertarian President Javier Milei stormed to power with a promise of harsh austerity and free-market reforms, Argentina’s vast industrial sector is in a state of deep and profound crisis.
Over 17,600 businesses—including 1,800 manufacturers—have folded in the last year and a half as falling orders and surging competition take a brutal toll.
“We’re seeing an industry in crisis, and it’s about to go bankrupt,” said Luciano Galfione, who runs a 78-year-old family textile mill that has been forced to cut its operations by 80 percent.
Not only textiles. Textiles are just the first and fastest to fall.
The crisis comes as President Milei prepares to travel to Washington, armed with a 20 billion dollar US financing deal, ahead of a crucial midterm vote.
Asian shares have skidded on renewed worries over the health of US banks’ loan portfolios
Asian shares have skidded lower on Friday, a direct and fearful reaction to a retreat on Wall Street that was driven by new concerns over the health of US banks’ loan portfolios. Japan’s Nikkei 225 fell 1.3 percent, tracking the US losses.
The sell-off, which has seen US futures and oil prices also fall, has sent investors fleeing to the safety of gold, which has climbed to over $4,383 an ounce.
The anxiety over the banking sector is compounding the political uncertainty in Tokyo, where the path for the new ruling party leader, Sanae Takaichi, to become prime minister remains unclear.
Oil prices are set for a weekly loss as a surprise Trump-Putin summit looms
Oil prices have edged lower and are heading for a weekly loss as the market grapples with the uncertainty of a surprise summit between US President Donald Trump and Russian President Vladimir Putin to discuss ending the war in Ukraine.
Brent crude futures fell to around $60.98 a barrel, with both benchmarks down nearly 3 percent for the week.
The summit, which could be held within the next two weeks in Budapest, is a stunning development that comes as Ukrainian President Volodymyr Zelenskiy is heading to the White House to push for more military support.
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