North America In the U.S.: August CPI rose 0.2% m/m which was unchanged from July’s reading. Increases in gasoline and rents were offset by declines in healthcare and apparel costs. REIT Focus: Columbia Property Trust (CXP) and Normandy Real Estate announced the development of a boutique office building at 799 Broadway in NY. Columbia will own 50% of the $300M ground-up project, which is scheduled to be completed in 2H 2020. ASIA In China: August industrial production improved to 6.1% y/y versus July’s 6.0% y/y reading. The slight uptick in production was attributed to a pickup in coal, cement and electricity production. Bloomberg reported that US President Donald Trump ordered his aides to proceed with $200B in China tariffs despite

North America In the U.S.: August nonfarm payrolls increased by 201K versus July’s downwardly revised 147K reading. Of note, manufacturing jobs were down 3K, and auto industry jobs were down 4.9K primarily due to tariff concerns. Bloomberg highlighted that July US trade data showed record deficits with China and the EU and signs of adverse impact on global growth. The report discussed how scheduled tariffs prompted front-loading of trade that supported US GDP growth in Q2. REIT Focus: LaSalle Hotel Properties (LHO) announced that the board of directors has declared that the Pebblebrook Hotel Trust (PEB) offer is superior to Blackstone’s (BX). Under the terms of Pebblebrook’s August 21, 2018 proposal, common shareholders of LaSalle may elect to receive either

In the U.S.: The U.S. and Mexico reached new trade agreement that would scrap the NAFTA name and call it the US-Mexico trade agreement. Although Mexican President Enrique Peña Nieto urged the U.S. to work on a trade deal with Canada, the White House and Canadian leaders were unable to come to an agreement. REIT Focus: Brookfield Property Partners LP (BPY) announced the completion of its acquisition of General Growth Properties (GGP). In connection with the closing, Brookfield Property REIT (BPR) was created as a public security that is intended to offer economic equivalence to an investment in BPY. In China: Following a week of little progress on the trade front, S. President Donald Trump has stated that he wants

In the U.S.: As expected, the US started to impose additional 25% tariffs on 279 Chinese import products worth $16B, which includes semiconductors, chemicals, and plastics. China quickly retaliated with its own new tariffs on $16B worth of imports from the US, including fuel, steel products, autos and medical equipment. Fed Chairman Jerome Powell stated that the current path of gradual rate hikes is likely appropriate if strong economic growth continues. He added that the economy is “strong” and can handle more normalization of policy. REIT Focus: Pebblebrook Hotel Trust (PEB) increased the terms of their offer for Lasalle Hotel Properties (LHO). The new proposal increases the number of LHO shares that can receive cash to 30%, a 50% increase

In the U.S.: Via twitter, President Donald Trump suggested that he will have the SEC look into changing the quarterly reporting cycle for public companies to a six month system. President Trump stated that the move would allow greater flexibility and save public companies money. In earnings, 465 companies in the S&P 500 Index have reported, 83.8% beat, 0.6% were in-line, and 15.6% missed estimates. REIT Focus: Bloomberg reported that MedEquities Realty Trust, Inc. (MRT) is considering a sale, according to people with knowledge of the matter. The company owns 33 acute-care hospitals, skilled nursing facilities and other types of health-care facilities in six states including California, and Texas. In REIT earnings, 111 companies in the Wilshire U.S. REIT Index