Services Sector Slumps Amid High Inflation; Job Market Cools But Optimism Remains for Investments Despite Tough Winter Ahead

Services sector contracted 0.8% in Q2, weakness concentrated in retail/hospitality due to high inflation squeezing consumer spending
Jobs market data showing signs of cooling - employee jobs decreased for first time in 2 years, unemployment rate rose to 2.7%
Business activity declining for 2nd month in a row per Ulster Bank PMI survey, across services, manufacturing, retail, construction
But still optimism - investment conference pep rally for business, new jobs/investments announced
Tough winter ahead with ongoing pressure on household budgets from inflation/energy prices

bbc.com

Relevant topic timeline:

8/24/2023

Republic of Ireland employment figure hits record high

The employment rate in the Republic of Ireland has reached a record high of 74.2% in the second quarter of this year, indicating strong economic recovery since the pandemic, although the governing coalition faces challenges due to high housing costs.

9/2/2023

Ireland’s increasingly remote GDP numbers

Ireland's GDP is no longer an accurate measure of the country's economic conditions due to the dominance of multinational companies and the volatility of their activity, with the economy entering a technical recession despite full employment and increased consumption.

9/13/2023

UK Economy Shrinks More Than Expected in July, Sparking Recession Fears

UK gross domestic product (GDP) fell by 0.5% in July, below expectations, with services output being the main drag on the economy, indicating a potential mild recession, and causing investment banks to revise down their growth forecasts; however, some experts still believe that the economy is growing, albeit at a slower pace.

9/13/2023

UK GDP Shrinks in July as Strikes and Bad Weather Stall Growth

The UK's GDP has contracted more than expected in July due to strikes, adverse weather, and a decline in retail trade, with a 0.5% decrease, although the broader picture indicates growth across various sectors; meanwhile, wages have risen by 7.8% and unemployment has increased to 4.3%.

Topics

Posted 9/16/2023, 5:49:26 AM

Services Sector Slumps Amid High Inflation; Job Market Cools But Optimism Remains for Investments Despite Tough Winter Ahead

Services sector contracted 0.8% in Q2, weakness concentrated in retail/hospitality due to high inflation squeezing consumer spending
Jobs market data showing signs of cooling - employee jobs decreased for first time in 2 years, unemployment rate rose to 2.7%
Business activity declining for 2nd month in a row per Ulster Bank PMI survey, across services, manufacturing, retail, construction
But still optimism - investment conference pep rally for business, new jobs/investments announced
Tough winter ahead with ongoing pressure on household budgets from inflation/energy prices

bbc.com

Relevant topic timeline:

8/24/2023

Republic of Ireland employment figure hits record high

9/2/2023

Ireland’s increasingly remote GDP numbers

9/13/2023

UK Economy Shrinks More Than Expected in July, Sparking Recession Fears

9/13/2023

UK GDP Shrinks in July as Strikes and Bad Weather Stall Growth