RECESSION WATCH-Corporate confidence crumbles, growth risks rise

Global economic confidence is rapidly unravelling as
corporate profits shrink and successive data releases reveal a
deteriorating outlook for growth, rivalling inflation as the
principal risk for investors.

Data released on Thursday showed inflation in the euro zone
at a record 4.1 percent while Japanese manufacturing showed more
signs of severe weakness. In the UK the housing market made
another lurch downwards and consumer morale was at a record low.

The deterioration in the growth outlook comes as
expectations for inflation stay high, according to the latest
Reuters survey of opinions on the outlook for G7 economies.

To see a selection of stories on the subjects of recession
and inflation risks, click on the codes in brackets below.

LATEST DATA
31/7 Euro zone July inflation hits record of 4.1% [ID:nL1483899]
31/7 UK housing, consumer downturn flags recession [ID:nL1418840]
31/7 Japan manufacturing weakness flags downturn [ID:nT151458]
> TAKE A LOOK-Japan slips towards recession [nECONJP]
31/7 German jobless falls, downtrend losing steam [ID:nL1456457]
31/7 Australians slash spending, fuel rate-cut fever[ID:nSYD4423]
30/7 Euro zone business morale sinks, outlook grim [ID:nL0708216]
30/7 Japan factory output shrinks, GDP may follow [ID:nT109265]
30/7 US mortgage applications slowest since 2000 [ID:nN29380214]
30/7 Swiss KOF indicator at 5yr low on consumer woe[ID:nL0674999]
30/7 German engineering orders dip on foreign demand [nL0646678]
30/7 Spanish retail sales suffer record fall [ID:nL0632469]
29/7 US home prices fell at record pace in May-S&P[ID:nN29315536]
29/7 US July consumer confidence up from 16-yr low[ID:nN29511811]
29/7 UK mortgage approvals hit record low in June [ID:nL9210791]
29/7 French consumer conf at low, industry gloomy [ID:nL9182545]
29/7 Japan jobless rise to hurt shrinking spending [ID:nT264987]
29/7 UK retail sales post record fall in July-CBI [ID:nL9233788]
24/7 German IFO index in sharpest drop since 9/11 [ID:nL24100806]

CORPORATE COMMENTS
31/7 Deutsche Bank writedowns swell beyond $11 bln [ID:nL1667925]
31/7 HBOS profit hit by writedown, may sell assets [ID:nL1410731]
30/7 Lloyds TSB profit dives 70%, sees bad debts up[ID:nL0580177]
30/7 Daiwa posts 78.5% drop in quarterly net profit [ID:nT310836]
30/7 Michelin H1 profits fall, cuts 2008 forecast [ID:nL0534343]
30/7 Siemens Q3 strong on big industry, energy work[ID:nL0565219]
29/7 Merrill to sell $8.5bn stock after write-down[ID:nN28254377]
29/7 Europe chem firms warn of rising input prices [ID:nL9147639]
29/7 Woolworths hits new low after profit warning [ID:nL9205970]
24/7 Ford posts $8.7-bln loss on truck slump [ID:nN24301386]
24/7 Renault '09 sales target cut, jobs at risk [ID:nL24625035]

POLICYMAKER COMMENTS AND ACTIONS
31/7 Central banks fire new round at credit crisis[ID:nN30471471]
31/7 US economy to underperform through mid-09-IMF[ID:nN30372623]
28/7 Inflat pressures complicate turmoil-IMF [ID:nN28413884]
25/7 China say seeks to balance growth, inflation [ID:nPEK297796]
23/7 Fed says price pressures gain, growth slows [ID:nN23449590]
22/7 U.S. Fed policymakers' recent comments [ID:nN22316176]
22/7 ECB policymakers' recent rate comments [ID:nECBQUOTES]
18/7 Recent Swiss National Bank policymaker views [ID:nSNBQUOTES]
21/7 BOE's Blanchflower-UK 'going into recession [ID:nN20348513]
21/7 German finance ministry writes off Q2 GDP [ID:nL21876224]

LATEST POLLS
31/7 US July payrolls seen posting 7th mth losses [ID:nN30417689]
31/7 Investors reduce equities in search of safety [ID:nL1513489]
31/7 Reuters July Asset Allocation Polls [ID:nL1669733]
23/7 G7 outlook takes fresh hit from credit crunch[ID:nL23428380]
17/7 Credit crunch to sting well into next year [ID:nLAG003000]
16/7 Confidence drops in U.S. economic policy [ID:nN15315048]
16/7 Funds most negative on equities in 10 years [ID:nL16762108]

ANALYSIS
> Credit market far from tossing away its crutches [nN30547766]
29/7 Merrill sparks fears bank crisis cost to soar[ID:nN29333243]
29/7 Banks take heart from efforts to calm mkts [ID:nL23937127]
29/7 London still calling through credit clamour [ID:nL8724796]
21/7 Credit seen drying up for U.S. small firms [ID:nN20368210]
16/7 German industry tools up for global slowdown [ID:nL16308504]
11/7 Short of recession, Europe risks stagnation [ID:nL11549212]
11/7 Recession risk grows in Britain [ID:nL09314179]
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