The GfK Consumer Climate Indicator for Germany rose to -24.2 heading into May 2024 from a marginally revised -27.3 in the previous period, above market forecasts of -25.9. It was the highest reading in two years, with income expectations surging to their top since January 2022 (10.7 vs -1.5 in April). Also, there were rises in both economic prospects (0.7 vs -3.1) and the propensity to buy (-12.6 vs -15.3). Simultaneously, the tendency to save increased to hit an extreme high (14.9 vs 12.4), as uncertainty about development in Europe's biggest economy persisted. Overall, while sentiment has recovered, it stayed at a subdued level. "In times of multiple crises and a lack of confidence in future development, there is still a lot of uncertainty among consumers," said Rolf Bürkl, consumer expert at NIM. He added that there was still no strong stimulus for domestic demand.

Stock futures in the US extended losses on Thursday, as concerns mount about the robustness of the US economy, following a weaker-than-expected growth figure. The US economy expanded an annualized 1.6% in Q1 2024, below forecasts of 2.5% and the lowest growth since the contractions in the first half of 2022. Additionally, disappointing earnings reports from companies like Meta and IBM put further pressure on investors. Shares of Meta sank about 15% before the opening bell after the company issued a weak revenue guidance for the second quarter, which outweighed better-than-expected first quarter results. IBM also declined almost 10% after a revenue miss and the confirmation of its plans to acquire HashiCorp. On the other hand, Honeywell International gained about 1% in premarket trading after the company's earnings beat forecasts, led by the company’s aerospace franchise. Microsoft, Alphabet and T-Mobile are due to report their quarterly results today after the closing bell.

The number of people claiming unemployment benefits in the US fell by 5,000 to 207,000 in the week ending April 25th, the lowest in over two months, and below market expectations of 214,000. This unexpected downturn provides more support for the notion of a tight labor market, adding leeway for the Federal Reserve to delay interest rate cuts to tackle stubborn inflation. The four-week-moving average, which reduces week-to-week volatility, declined by 1,250 to 213,250. In the meantime, the non-seasonally adjusted claim count eased by 7,363 to 201,619, as declines in New York (-4,174) and Pennsylvania (-2,796) offset increases in Massachusetts (3,565) and Rhode Island (1,719).

The central bank of Turkey left its key one-week repo auction rate steady at 50% on April 25th 2024, in line with market expectations, following an unexpected 500bps hike in March, and considering the lagged effects of the monetary tightening. Policymakers added that the tight monetary stance will be maintained until a significant and sustained decline in the underlying trend of monthly inflation is observed, and inflation expectations converge to the projected forecast range. However, interest rates will be increased in case a significant and persistent deterioration in inflation is foreseen. Inflation rate in Turkey accelerated to 68.50% in March, the highest since November 2022, from 67.07% in February. The central bank's survey of market participants showed expectations for end-year inflation were around 44% in April, compared to the central bank's forecast of 36%.

The monthly retail sales balance from the Confederation of British Industry (CBI) in the United Kingdom, which measures sales compared to the previous year, plunged to -44 in April 2024 from +2 in March and much lower than market forecasts of -2. The reading pointed to the worst fall in retail sales for an April month since 2020, likely related to the earlier timing of Easter this year. "That being said, conditions do remain challenging on the ground", Alpesh Paleja, CBI lead economist said. Sales are expected to continue falling next month, but at a slower pace, the CBI added.

Hong Kong’s trade deficit widened to $45.0 billion in March 2024 from $40.6 billion in the same month a year earlier, as imports grew faster than exports. Year-on-year, imports advanced 5.3% to $429.5 billion, mainly driven by higher purchases of telecommunications, sound recording, reproducing apparatus & equipment (18.3%), electrical machinery, apparatus, appliances, & electrical parts (5.8%), and office machines & automatic data processing machines (20.3%). Meanwhile, exports rose at a softer 4.7% to $384.5 billion, primarily due to increased sales of telecommunications, sound recording, reproducing apparatus & equipment (14.2%), electrical machinery, apparatus, appliances, & electrical parts (4.8%), and office machines & automatic data processing machines (9.8%). Considering the first three months of the year, the country’s trade deficit narrowed to $83.0 billion compared to $111.3 billion in the corresponding period last year.