Charting the Global Economy: A Bad Week for Growth

(Bloomberg) — A manufacturing meltdown is cascading through the broader economies of Europe and America, the U.S. job market is coming off the boil and tariffs continue to exact a toll on global growth prospects.

Following are some of the top charts that appeared on the Bloomberg terminal and Bloomberg.com this week. The scope of this weekly series, grouped by region, is a graphical depiction of an evolving world economy. Chart selection is based on financial market and national economy relevance, shifts in demographics and geopolitical events.

America’s once-red hot labor market is gradually losing steam, although the unemployment rate at a fresh five-decade low indicates lingering tightness.

A weak reading of activity in the U.S. services industry and a similar downbeat report for manufacturing, along with purchasing managers’ disappointing assessments of employment, significantly boosted the odds traders are placing on a Federal Reserve interest-rate cut later this month.

Europe

Germany’s economic woes are becoming more pronounced, with a sharp slowdown in services suggesting the pain from its industrial crisis is spreading.

The Trump administration’s plan to impose tariffs on EU airplane exports — after a record WTO award — is a serious blow to Europe’s aircraft industry and also hits export orders for U.S. manufacturers.

At a time of diminished monetary policy ammunition, incoming ECB President Christine Lagarde says Germany isn’t the only country with room for fiscal stimulus.

Pakistan needs to repay China more than double the amount it owes the International Monetary Fund in the next three years, as loans racked up to boost foreign exchange reserves and bridge a financing gap become due.

Emerging Markets

South Africa’s total government debt could surge to about 95% of gross domestic product by 2024, from less than 60% now, if the economy shrinks for the next five years, according to the Institute of International Finance.

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