Highlights

  • Real GDP growth in the US was an annualized 4.2% y/y (3rd estimate) in 2Q18, unchanged from the 2nd estimate. In September 2018, unemployment rate declined by 0.2ppts to 3.7%.
  • Based on rapid estimates, in August 2018, economic growth slowed in all regional economies and came in at 2.1% y/y in Kazakhstan, 2.0% y/y in Georgia, 1.1% y/y in Russia, and 0.6% y/y in Armenia. In 8M18, real GDP growth was 3.7% y/y in Belarus and 0.7% y/y in Azerbaijan.
  • In September 2018, annual inflation in the US was 2.3%, down from 2.7% in previous month. Based on the Eurostat flash estimate, annual inflation in EU19 was 2.1% in September 2018, up from 2.0% in August 2018.
  • In September 2018, annual inflation was below the target level in Georgia (2.7%), Russia (3.4%), Armenia (3.5%) and Belarus (5.6%); inflation was within the target range in Kazakhstan (6.1%), and above the target in Ukraine (8.9%) and Turkey (24.5%).
  • Monetary policy rate was increased to 9.25% (from 9.0%) in Kazakhstan as of October 17, 2018. The policy rate has remained unchanged in other countries.

Please see the full report for detailed coverage of the fixed income markets of Georgia, Armenia, Azerbaijan, Belarus, Kazakhstan, and Ukraine.