CBRE: US Europe Asia Pacific. Within the report divided into 3 continental regions, Asia-Pacific wins the 2013 outlook, primarily based on strong Chinese industrial production, bank loans fixed investment. Exports from the smaller industrialized economies are growing as well, while Australia and Japan have more problems to deal with.
In the US, growth is expected to continue just like in 2012 with the notable changes confidence and housing. Consumer confidence being the primary concern even though retail sales were robust last year (4.7% overall, 4.4% ex-autos & gas). Housing’s recovery can now be titled ‘sustainable’ while manufacturing is lagging and the service sector is doing rather well.
Obviously Europe is the worst of the 3 regions, and while confidence and manufacturing are at depressed levels, there is signs that the recession is bottoming out. Still no sign on employment improvements however, that chart still goes straight down. The ratio of new orders to inventories hit a 11 month high, signaling a production rebound as demand from the US and China pull Europe form its malaise.