Inflation Pressures Mount as China's Manufacturing Sector Rebounds

China's manufacturing sector showed signs of recovery in August, with the Manufacturing PMI rising to a two-month high of 51.5. The growth rate of new export orders hit a six-month high, while factory-gate prices declined for the first time this year.

The US Federal Reserve is also expected to raise interest rates if inflation does not ease sufficiently. Governor Michael Barr stated that decisive action is warranted, and he would support a rate hike if necessary.

Meanwhile, the Eurozone's inflation figures rose to their highest level in nearly three years, driven by persistently high energy prices. The European Central Bank is scheduled to meet next week and may consider an interest rate hike.