Summary
The week witnessed the release of GDP growth figures and accompanying inflation data across various economies. The US reported a second estimate of Q4 GDP growth at an annualized 3.3%, a decline from Q3's 4.9%, with a projected GDP price index of 1.5% annually. Meanwhile, Brazil's economy expanded by 2.2% in Q4, slightly faster than Q3, and India maintained elevated GDP growth, reaching 7.3% in Q4, though slightly lower than Q3's 7.6%. French GDP saw a modest increase of 0.7% in Q4 compared to 0.6% in Q3. Inflation in France is anticipated to fall to 3.1% in February, while the wider Euro area experiences a pickup, reaching 0.5% month-on-month or 2.5% annually. Singapore's producer price index shows signs of positivity at 0.3%.
In the energy sector, Shell's LNG outlook for 2024 forecasts a peak in natural gas demand in the 2040s, with LNG continuing to grow, driven by China's decarbonization efforts.
The Baker Hughes oil rig count rose by 6 rigs to 503, with WTI prices averaging $77.8, and Henry Hub at $1.67/mmbtu. However, low gas prices are affecting shale producers in the US, prompting companies like Chesapeake Energy to reduce capital expenditure and output.
On the trade front, the Dutch Central Planning Bureau's World Trade Monitor indicates a 1% increase in global trade volume from November, with disparities between advanced and emerging economies.
Despite challenges, US exports surged while Euro area imports declined.
Industrial production rose globally by 1.5% in December, with China leading the increase. Chinese container trade data reflect steady growth, with significant rises in energy imports and slight declines in exports.
