Alternative Data Show Europe Slowing, U.S. Gaining

After gaining traction in the latter half of September, economic activity has again weakened in October, particularly in European countries, according to Bloomberg Economics’ gauges that integrate high-frequency data such as mobility, energy consumption, and public transport usage. Following concerns about renewed outbreaks amid strong rises in Covid-19 cases, activity in Germany, France, Spain and Italy has leveled off. In contrast, after a long period of stagnation, the U.S. is now increasingly catching up to its European peers. With activity at just two-thirds of pre-virus levels, Canada and the U.K. are the worst-performing advanced economies BE is tracking.