World manufacturing production rose 3.5% year-over-year in June, outpacing growth in potential output (+2.7%) for the seventh consecutive month. Global manufacturing grew 3.7% in the second quarter, the strongest quarterly increase since Q1/2014. Production volumes are now exceeding long-term fundamentals, as evidenced by an increasingly positive output gap (+0.6%). Despite this cyclical improvement, producer price inflation decelerated in June due to lower input costs.
Our recent expansion led us to hire three new analysts, all of whom share a passion for economics and data-driven solutions. Pierce Mullin graduated from University College London with a MSc in Economics (Distinction); François Chastanet comes to us from HEC Paris by way of Brazil and obtained an MBA from HEC Montreal; Demetra Papanagiotou obtained her first degree in Financial Management & Banking from the University of Piraeus in Greece and furthered her education at Concordia in Montreal, graduating with a Master’s in Economics. All of them add tremendous value to our international team and we are excited to have them. Their more extensive biographies will be featured on our Team page at a later date.