Photo: Charlie Rose via YouTube
Jim O’Neill is the legendary economist from Goldman Sachs who coined the acronym BRICs. So, it’s no surprise that whenever people meet him, they want to talk about economics.During a recent trip to the Gulf, some folks asked him if he had more confidence in some economic indicators than others.
Here’s his response in his latest Viewpoints note:
There are some indicators which are simply more powerful in their reliability than others, as well as having predictability in shores beyond their own. In my view, the Korean trade data, US job claims, the US ISM report and its new orders and inventory component, the Euro area business and consumer confidence surveys, especially the German IFO, are the key numbers I look for each month. I do find myself often wondering whether one misses something from the Growth Market world, but if you throw in a couple of key Chinese monthly statistics, their monetary data, PMI, trade and monthly retail sales numbers in particular, then you kind of have most of what you need.
Then, the rest of time can be spent thinking about policies, both monetary and fiscal, as well as structural and supply side issues, and keeping ones eyes and ears open for all sorts of interesting anecdotes.
Good to know.