Weekly Economic Outlook: November 10 - November 16, 2025
- Remin Francis I R
- Nov 17
- 2 min read
As we look back on the latest economic developments, there’s a mix of both caution and optimism in the air, with key data points reflecting various challenges and opportunities across global markets.
The UK job market took a hit in the third quarter of 2025, with the unemployment rate rising to 5.0%, marking the highest level since May 2021. This was slightly above expectations, with the number of unemployed individuals increasing by 117,000 to 1.789 million. Notably, the rise was primarily seen among those out of work for extended periods, signalling a potential shift in labour market dynamics. Employment also saw a decline, with total employment falling by 22,000 to 34.192 million. This drop was mainly due to a reduction in full-time positions, though the number of people holding second jobs rose slightly to 1.33 million. Economic growth in the UK slowed to 1.3% year-on-year in Q3 2025, just below the 1.4% growth seen in the previous quarter. This slowdown was driven by weaker household consumption and government spending, while fixed investment showed positive signs of acceleration.
India’s inflation story took a positive turn as consumer price inflation dropped to a historic low of 0.25% in October 2025, down significantly from the previous month’s 1.44%. This marks the ninth consecutive month where inflation has stayed below the Reserve Bank of India’s 4% target. Food prices, which make up a large part of the consumer basket, fell sharply by 5.02%, thanks to better weather conditions that boosted the production of essential crops. Meanwhile, wholesale prices in India also saw a significant decline, falling by 1.21% year-on-year in October, driven by steep drops in food prices like onions and potatoes, and continued easing in fuel prices. This decline in wholesale prices points to softening inflationary pressures in the economy, potentially giving the Reserve Bank of India room for further rate cuts.
China’s industrial production grew at a slower pace of 4.9% year-on-year in October 2025, down from 6.5% in September. The decline was mainly driven by softer growth in manufacturing and mining, partly due to the Golden Week holiday. Despite this slowdown, the production of electricity, heat, gas, and water saw an impressive acceleration, increasing by 5.4%. Within manufacturing, industries such as automotive, railway, and shipbuilding recorded solid growth, suggesting that some sectors of the Chinese economy remain on a positive trajectory.
In terms of India's external financial position, foreign exchange reserves decreased slightly to $687.03 billion in early November 2025, compared to $689.73 billion the previous week. While this represents a small drop, reserves have remained robust, and India’s foreign exchange position continues to be strong compared to historical levels.
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