Weekly Economic Outlook: November 3 - November 9, 2025
- Remin Francis I R
- Nov 10
- 2 min read
The past week, several key economic indicators have shaped the global economic outlook, with significant developments in both developed and emerging markets.
In the United States, the ISM Services PMI rose to 52.4 in October, marking the strongest expansion in the services sector since February. Business activity and new orders both rebounded significantly. However, the employment index remained below the neutral level at 48.2, reflecting some caution in hiring, partly due to concerns around a potential government shutdown. The backlog of orders index continued its downward trend, signalling that businesses are catching up with demand.
Across the Atlantic, the Bank of England's Monetary Policy Committee voted 5-4 to hold the Bank Rate at 4%. While there is growing support for easing, policymakers are still closely monitoring inflation trends. The committee noted that inflation has likely peaked, and disinflationary pressures are starting to take hold, with softer pay growth and easing services inflation.
In India, the HSBC Composite PMI came in at 60.4 for October, indicating solid growth, although momentum has softened slightly. The services sector showed some signs of strain, with the HSBC Services PMI dipping to 58.9 from 60.9 in September. The slowdown was partly due to competition and natural disasters, such as floods and landslides, which disrupted business. On the manufacturing side, the HSBC India Manufacturing PMI rose to 59.2, signalling robust growth driven by strong demand and optimism around recent GST reforms.
In Canada, the unemployment rate fell to 6.9% in October, showing positive job growth, with 66,600 new jobs created. Interestingly, youth unemployment also saw a sharp decline, suggesting improving labour market conditions.
Over in China, consumer inflation surprised on the upside, rising 0.2% YoY in October, reversing a 0.3% decline in the previous month. The rebound was driven by stronger domestic demand, particularly during the Golden Week holiday period.
Finally, in the foreign exchange space, India’s foreign exchange reserves dropped slightly to $689.7 billion in October, down from $695.4 billion the previous week, though still well above historical averages.
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