Producer Prices in the U.S. Rose 0.7 Percent Monthly

According to yesterday’s data, U.S. Retail sales rose 3% in January, easily topping the 1.9% Dow Jones estimate, the Commerce Department reported Wednesday. The numbers are not adjusted for inflation, meaning that consumers outpaced the 0.5% inflation rate for the month. Food service and drinking places, motor vehicle and parts dealers, and furniture stores led the sales increases.

The U.S. Bureau of Labor Statistics just revealed in its report on Thursday that U.S. producer prices rose 0.7% MoM in January, beating market expectations. Unadjusted, the final demand index increased by 6.0% YoY. In January, producer prices for goods rose by 1.2% month-on-month, and prices for final consumer services rose by 0.4%.

Earningswise in Europe, Airbus (EADSY) announced today that revenue in Q4 of the 2022 fiscal year was 20.6 billion euros, a YoY increase of 21%. Net profit rose to €1.7 billion from a net loss of €1.6 billion in the last quarter of last year, and the company's earnings per share were €2.13, a YoY increase of 6%. For the full year 2022, the aerospace giant posted revenue of €58.8 billion, up 13% YoY, and adjusted earnings before interest and taxes (EBIT) of 5.7 billion euros, up 16% YoY.

Also, Germany's Commerzbank recorded strong results in Q4 2022, followed by more positive financial news from Nestle. French Renault Group (RNO.PA) joined in to report increased revenues.

The German DAX is decreasing by 0.41% at the time of writing, while the British FTSE 100 traded 0.15% lower, and the Euro Stoxx 600 declined by 0.30% concurrently. The French CAC 40, however, is advancing 0.47%.

Asia Pacific markets traded broadly higher earlier this morning as investors eyed Japan's record trade deficit of 3.5 trillion yen ($26 billion). Investors also digested a stronger than expected U.S. retail sales report from Wall Street (read above). South Korea's Kospi closed 1.96% higher at 2.475.48. In Japan, the Nikkei 225 rose 0.71% to close at 27,696.4 and the Topix inched up 0.68% to end the day at 2,001.09. The Japanese yen also strengthened slightly following the trade release. In Australia, the S&P/ASX 200 closed 0.79% higher at 7,410.3, as unemployment data for January came in higher than economists expected.

In mainland China, the Shenzhen Component lost 1.3% to end its session at 11,907.4, and the Shanghai Composite also fell 0.96% to close at 3,249.03. Hong Kong's Hang Seng index erased some of its earlier gains and last traded 0.9% higher, with the Hang Seng Tech index rising 1.95%.