China's economic growth has slowed to one of its lowest rates on record, with a 4.3% growth rate in the quarter ending June 30th, down from 5% in the previous quarter. This slowdown is attributed to sluggish domestic demand, despite a surge in exports. The country's growth rate is now below Beijing's target range of 4.5% to 5%, indicating a challenging economic landscape. Meanwhile, Thames Water, Britain's largest water company, has managed to secure enough funding to survive until the end of the year. The company, which serves 16 million customers in London and southern England, has faced criticism for its aging infrastructure and massive debt pile, leading to sewage pollution in rivers and the sea. However, Thames Water's performance is showing signs of improvement, with a 18% reduction in sewage pollution and a jump in underlying profit after tax to £203.9 million. The company is working on a recapitalization plan with creditors, regulators, and the government to avoid temporary nationalization. In other news, oil prices have increased modestly due to escalating tensions in the Middle East, with Brent crude rising 0.7% to $85.3 a barrel. Asian stock markets have also shown resilience, with Japan's Nikkei and Hong Kong's Hang Seng rising despite a bigger-than-expected cooling in US inflation. The pound has strengthened against the dollar, and bond yields and the dollar have fallen, indicating market relief over the inflation reading. The US Federal Reserve's chair, Kevin Warsh, has cautioned against declaring victory over inflation based on a single data point. ASML, Europe's most valuable company and a leading chip-making equipment supplier, has beaten revenue forecasts, contributing to overall market optimism. The upcoming economic agenda includes Eurozone industrial production data for May, US producer prices for June, the Bank of Canada's interest rate decision, and the US Federal Reserve chair's testimony before Congress.
