The S&P 500 on the Longest Bull Market Run in History
|
|
- Virginia Davis
- 5 years ago
- Views:
Transcription
1 WEEKLY NEWSLETTER The S&P 500 on the Longest Bull Market Run in History #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Home sales fall again in. ff Canada: Wholesale and retail sales lost ground in. A LOOK AHEAD ff Growth in U.S. real consumption likely slowed in. ff Canada: Real GDP by industry could increase somewhat in. ff Canada: The second quarter as a whole should end with real GDP growth of around 3%. FINANCIAL MARKETS ff The U.S. stock market was on an upswing this summer. ff The prospect of an upcoming rate hike by the Bank of Canada has boosted Canadian bond yields. ff The turbulence on currency markets in emerging countries has eased. CONTENTS Key Statistics of the Week... 2 United States, Canada A Look Ahead... 4 United States, Canada, Overseas Financial Markets... 3 Economic Indicators of the Week... 6 Tables Economic indicators... 8 Major financial indicators...10 François Dupuis, Vice-President and Chief Economist Carine Bergevin-Chammah, Economist Mathieu D Anjou, Senior Economist Benoit P. Durocher, Senior Economist Francis Généreux, Senior Economist Hendrix Vachon, Senior Economist, Economic Studies: or , ext desjardins.economics@desjardins.com desjardins.com/economics NOTE TO READERS: The letters k, M and B are used in texts and tables to refer to thousands, millions and billions respectively. IMPORTANT: This document is based on public information and may under no circumstances be used or construed as a commitment by Group. While the information provided has been determined on the basis of data obtained from sources that are deemed to be reliable, Group in no way warrants that the information is accurate or complete. The document is provided solely for information purposes and does not constitute an offer or solicitation for purchase or sale. Group takes no responsibility for the consequences of any decision whatsoever made on the basis of the data contained herein and does not hereby undertake to provide any advice, notably in the area of investment services. The data on prices or margins are provided for information purposes and may be modified at any time, based on such factors as market conditions. The past performances and projections expressed herein are no guarantee of future performance. The opinions and forecasts contained herein are, unless otherwise indicated, those of the document s authors and do not represent the opinions of any other person or the official position of Group. Copyright 2018, Group. All rights reserved.
2 Key Statistics of the Week UNITED STATES ff Sales of existing homes were down 0.7% in, while the consensus called for growth of around %. This was the fourth straight month of falling home resales. Annualized sales edged down from 5,380,000 units in to 5,340,000 in, the lowest figure since February In, sales of existing single-family homes retreated, while sales of multi-unit housing fell by 4.8%. ff Retail sales fell in. New car dealer sales (-%) and service station sales (-%) lost ground during the month. However, a increase has been noted in other sectors. In real terms, sales are down. ff Sales of new single-family dwellings dropped for a second straight month in. The 1.7% decline follows a % decrease in. At 627,000 units (annualized) in, sales are down significantly from the recent high of 712,000 units reached in November s decline occurred mainly in the northeastern United States. ff Wholesale sales retreated 0.8% in. Motor vehicle and auto parts sales (-%) posted a third straight decline. However, the other sectors posted a % drop. This is the first decrease in nine months. In real terms, sales fell %. On the other hand, inventory increased % so that the total impact of wholesaling on economic growth will be slightly positive for. Benoit P. Durocher, Senior economist ff New durable goods orders dipped 1.7% in after a 0.7% increase in and a drop in. The dip was largely due to a 35.4% slide in civil aviation. Excluding transportation, new orders were up. Excluding aviation and defence, new capital goods orders were up for a fourth consecutive month, with a gain of % in. Francis Généreux, Senior economist The sum of retail trade indicates an increase in consumer spending in the second quarter Real retail sales In 2007 $B 49.0 Quarterly averages JAN APR. JUL. OCT. JAN APR. Sources: Statistics Canada and, Economic Studies 2
3 Financial Markets A Tough Summer for Emerging Country Currencies Escalating trade tensions with China and signs that the Chinese economy may be starting to weaken affected stock markets. Strong economic data and corporate results in the United States drove the stock market higher. The S&P 500 marked its longest bull run in history on Wednesday, exceeding 3,453 consecutive days. Since our last Weekly Newsletter dated 6, the S&P 500 has increased by 3.6%. It softened a bit this week, with new tariffs between China and the United States taking effect on Thursday. By Friday morning, the weekly gain was about 0.9%. On the opposite end of the spectrum, Canada s stock market has been trending slightly lower since mid-. Price declines for oil and industrial metals held sway over Canada s stock market. The S&P/TSX was more or less stable this week, with a slight weekly gain of at the time of writing. Bond yields in the United States remained at relatively high levels between the end of and mid-august, only to fall back to the level seen early this summer. The U.S. 10 year yield topped 0% only once, on August 1st. Today, it sits below 5%. The 2 year yield performed somewhat better, reaching about 2.60% on Friday morning. Unlike its U.S. counterparts, Canadian bond yields were on an uptrend this summer, with the 10 year yield showing some weakness recently. Expectations of a third key rate increase in 2018 in Canada have kept yields at high levels. The 2 year yield is now below 2.15%, while the 10 year yield is below 0%. GRAPH 1 Stock markets Index Index 2,875 16,600 16,500 2,850 16,400 2,825 16,300 2,800 16,200 2,775 16, /07/ /07/ /07/ /08/ /08/ /08/23 S&P 500 (left) S&P/TSX (right) Sources: Datastream and, Economic Studies GRAPH 2 Bond markets 10-year yield In % points -0 In % The currency market was hectic this summer, especially in emerging markets, but the situation now seems calmer. The sharp rise of the U.S. dollar raised concerns about the stability of some economies, namely Argentina, Brazil and Turkey. Political tensions between Turkey and the United States exacerbated the depreciation of Turkey s currency. The Turkish lira lost 45% of its value in the first two weeks of August. It has since recovered somewhat, but it remains much weaker than at the beginning of summer. The U.S. dollar shed some of its gains when Donald Trump expressed his disagreement with the Federal Reserve s monetary tightening. The euro was up sharply this week and is currently at around US$6. The loonie showed some resistance this summer, though it has weakened since Thursday. It is at about US$0.76 today /07/ /07/20 Spread (left) 2018/07/ /08/07 United States (right) 2018/08/ /08/23 Canada (right) Sources: Datastream and, Economic Studies GRAPH 3 Currency markets US$/C$ US$/ Carine Bergevin-Chammah, Economist /07/ /07/ /07/ /08/2018 Canadian dollar (left) 15/08/ /08/2018 Euro (right) Sources: Datastream and, Economic Studies 3
4 A Look Ahead UNITED STATES TUESDAY August 28-9:00 y/y 6.43% 6.60% 6.51% S&P/Case-Shiller index of existing home prices () The monthly change in the S&P/Case Shiller index slowed at the beginning of spring. The average increase in April and was, much lower than the average of 0.7% recorded in the first quarter. We expect an increase of for. A base effect should see the annual change in the S&P/Case Shiller index tick up from 6.5% to 6.6%. TUESDAY August 28-10:00 August Conference Board consumer confidence index (August) After losing 1.7 points in, the Conference Board confidence index moved up 0.3 points in. Another slight increase is expected for August. Gas prices have dipped slightly since the beginning of the month, the stock market is up more than 1.5% and new jobless claims are at historic lows. The other confidence indexes are sending mixed signals, however. The University of Michigan index fell to its lowest level in almost a year and the Bloomberg weekly index has been down slightly for the last two weeks, while the TIPP reached a peak not seen in 14 years. All told, the Conference Board s consumer confidence index should reach THURSDAY August 30 - m/m Consumer spending () Consumption growth was very strong in the second quarter of 2018, with an annualized gain of 4.0% the best result since the end of The increase started to slow in, however. We do not expect real consumption to post a major increase in either. The decline in new automobile sales and the modest rise in retail sales point to a weak advance in the consumption of goods. On the services side, a surge in food services will be partially offset by a slowdown in demand for energy. All in all, real consumption growth should come in at only. The gain should reach in current dollars. The annual change in the deflator should rise from % to %, while the core deflator, which excludes food and energy, could reach 2.0%. WEDNESDAY August 29 - Q $B Q Current account (Q2) According to the data on international merchandise trade, the value of exports climbed by 6.0% in the second quarter. This growth clearly outpaced import growth (+3.2%), thus allowing the trade balance to improve significantly for the period. This paves the way for a drop in the current account deficit. THURSDAY August 30 - m/m % Real GDP by industry () The economic results were fairly mixed in. The good news is that the increase in exports for the month gave manufacturing sales a huge boost. What s more, the month of ended with a net rebound in housing starts. Now the bad news: the volume of wholesale and retail sales declined, and the number of hours worked in the services sector fell by. The magnitude of the negative impact due to the oil production interruption at the Syncrude oil sands complex in Alberta remains to be seen. The bottom line is that real GDP by industry is expected to show some positive growth in. THURSDAY August 30 - Q ann. rate % % Q % Real GDP (Q2) Real GDP by industry was up in April and % in, meaning that the carryover is quite high. Factoring in the increase expected for, the second quarter should post an annualized gain of about % overall. Not only did consumption spending gain strength, but international trade is also set to make a big contribution to growth, fuelled by the sharp rise in exports. 4
5 OVERSEAS DURING THE WEEK : Economic indicators Several major indicators for will be released in the next few days. Their readings will show if the thrust that began in the second quarter with real GDP growth reaching an annualized gain of % will extend into Q3. Retail sales figures will be made public on Wednesday evening. On Thursday evening, the figures for industrial production, housing starts, unemployment rates, and the consumer price index will be announced. THURSDAY August 30 - : Confidence indicators Most of the confidence indexes in the euro zone are trending downwards. The declines are quite modest however, and they reflect weaker real GDP growth, but no marked downturn in the economic environment. The August numbers for most of these indexes will be released on Thursday. The preliminary version of the consumer confidence index declined once again, from - to -, the lowest level since For its part, the PMI composite index stabilized instead in August, after spiking temporarily in followed by a dip in. Among the other indicators to be released next week, the advance estimate for inflation in August and the unemployment rate for will be released on Friday. The German Ifo business climate index comes out Monday. 5
6 Economic Indicators Week of August 27 to 31st, 2018 Day Hour Indicator Period Previous data UNITED STATES MONDAY 27 TUESDAY 28 9:00 10:00 Goods trade balance preliminary (US$B) Retail inventories preliminary (m/m) Wholesale inventories preliminary (m/m) S&P/Case-Shiller home price index (y/y) % % % WEDNESDAY 29 10:00 Real GDP (ann. rate) Pending home sales (m/m) Q2s 4.0% % 4.1% 4.1% 0.9% 215, , ,000 % 2.0% % 2.0% % % THURSDAY 30 Initial unemployment claims Personal income (m/m) Personal consumption expenditures (m/m) Personal consumption expenditures deflator Total (m/m) Excluding food and energy (m/m) Total (y/y) Excluding food and energy (y/y) FRIDAY 31 9:45 10:00 Chicago PMI index Michigan s consumer sentiment index final MONDAY 27 TUESDAY 28 WEDNESDAY 29 Current account balance ($B) Q THURSDAY 30 Real GDP by industry (m/m) Real GDP (ann. rate) Q2 % % % % FRIDAY 31 Industrial product price index (m/m) Raw materials price index (m/m) % % Note:, Economic Studies are involved every week in the Bloomberg survey for Canada and the United States. Approximately 15 economists are consulted for the Canadian survey and a hundred or so for the United States. The abbreviations m/m, q/q and y/y correspond to monthly, quarterly and yearly variation respectively. Following the quarter, the abbreviations f, s and t correspond to first estimate, second estimate and third estimate respectively. The times shown are Daylight Saving Time (GMT - 4 hours). Forecast of, Economic Studies of the Group. 6
7 Economic Indicators Week of August 27 to 31st, 2018 Country Hour Indicator Period m/m (q/q) y/y Previous data m/m (q/q) y/y OVERSEAS DURING THE WEEK Retail sales - 1.2% 1.2% MONDAY 27 Ifo survey Business climate Ifo survey Current situation Ifo survey Expectations TUESDAY 28 France Italy Italy 2:45 Money supply M3 Economic confidence WEDNESDAY 29 France France 1:00 2:00 2:45 2:45 19:50 Personal consumption expenditures Real GDP preliminary Retail sales Sept. Q % THURSDAY 30 South Korea United Kingdom China China -- 8:00 19:01 19:30 19:30 19:50 21:00 21:00 Bank of Korea meeting Business climate final Industrial confidence Services confidence Economic confidence Consumer price index preliminary Consumer price index Tokyo Unemployment rate Industrial production preliminary PMI manufacturing index PMI non-manufacturing index % FRIDAY 31 United Kingdom France Italy Italy Italy 1:00 2:00 2:45 6:00 Housing starts Nationwide house prices Consumer price index preliminary Unemployment rate Consumer price index estimate Unemployment rate Consumer price index preliminary Real GDP final Q2-4.3% 2.6% % % 10.8% 2.1% 8.2% % % % % 1.7% 1.2% 2.0% % % 2.6% 5 4.4% % % 1.8% 2.0% 0.9% % -1.8% % % -0.9% -7.1% 2.5% % 2.1% 8.3% 1.5% % Note: In contrast to the situation in Canada and the United States, disclosure of overseas economic fi gures is much more approximate. The day of publication is therefore shown for information purposes only. The abbreviations m/m, q/q and y/y correspond to monthly, quarterly and yearly variation respectively. The times shown are Daylight Saving Time (GMT - 4 hours). 7
8 UNITED STATES Quarterly economic indicators REF. QUART. Gross domestic product (2009 $B) Consumption (2009 $B) Government spending (2009 $B) Residential investment (2009 $B) Non-residential investment (2009 $B) Business inventory change (2009 $B)1 Exports (2009 $B) Imports (2009 $B) Final domestic demand (2009 $B) GDP deflator (2009 = 100) Labor productivity (2009 = 100) Unit labor cost (2009 = 100) Employment cost index (Dec = 100) Current account balance ($B)1 1 VARIATION (%) LEVEL ANNUAL VARIATION (%) Quart. ann. 1 year ,507 12,848 3, , ,574 3,424 19, Statistics representing the level during the period; * New statistic in comparison with last week. UNITED STATES Monthly economic indicators REF. MONTH Leading indicator (2010 = 100) ISM manufacturing index1 ISM non-manufacturing index1 Cons. confidence Conference Board (1985 = 100)1 Personal consumption expenditure (2009 $B) Disposable personal income (2009 $B) Consumer credit ($B) Retail sales ($M) Excluding automobiles ($M) Industrial production (2007 = 100) Production capacity utilization rate (%)1 New machinery orders ($M) New durable good orders ($M) Business inventories ($B) Housing starts (k)1 Building permits (k)1 New home sales (k)1 Existing home sales (k)1 Commercial surplus ($M)1 Nonfarm employment (k)2 Unemployment rate (%)1 Consumer price ( = 100) Excluding food and energy Personal cons. expenditure deflator (2009 = 100) Excluding food and energy Producer price (2009 = 100) Export prices (2000 = 100) Import prices (2000 = 100) 1 VARIATION (%) LEVEL -1 month -3 months -6 months -1 year ,886 14,350 3, , , * * * , ,852 1,937 1,168 1, ,340-46, , ,158 1, ,380-43, ,276 1, ,450-47, ,334 1, ,380-51,889 1, ,185 1, ,420-44,803 2, Statistic shows the level of the month of the column; 2 Statistic shows the variation since the reference month; * New statistic in comparison with last week. 8
9 Quarterly economic indicators REF. QUART. Gross domestic product (2007 $M) Household consumption (2007 $M) Government consumption (2007 $M) Residential investment (2007 $M) Non-residential investment (2007 $M) VARIATION (%) LEVEL ANNUAL VARIATION (%) Quart. ann. 1 year Current account balance ($M)1 1,877,388 1,077, , , ,573 15, , ,364 1,875, , , , , , ,526 Production capacity utilization rate (%)1 Disposable personal income ($M) Corporate net operating surplus (2007 $M) ,242, , Business inventory change (2007 $M)1 Exports (2007 $M) Imports (2007 $M) Final domestic demand (2007 $M) GDP deflator (2007 = 100) Labour productivity (2007 = 100) Unit labour cost (2007 = 100) 1 Statistics representing the level during the period; * New statistic in comparison with last week. Monthly economic indicators REF. MONTH Gross domestic product (2007 $M) Industrial production (2007 $M) Manufacturing sales ($M) Housing starts (k)1 Building permits ($M) Retail sales ($M) Excluding automobiles ($M) Wholesale trade sales ($M) Commercial surplus ($M)1 Exports ($M) Imports ($M) Employment (k)2 1 Unemployment rate (%) Average weekly earnings ($) Number of salaried employees (k)2 Consumer price (2002 = 100) Excluding food and energy Excluding 8 volatile items Industrial product price (2002 = 100) Raw materials price (2002 = 100) Money supply M1+ ($M) 1 VARIATION (%) LEVEL -1 month -3 months -6 months -1 year 1,781, ,769 58, ,092 50, * 37, * 63, ,724-4, , ,824 50,699 51, , , , * Statistic shows the level of the month of the column; 2 Statistic shows the variation since the reference month; * New statistic in comparison with last week. 9
10 UNITED STATES,, OVERSEAS Major financial indicators PREVIOUS DATA ACTUAL LAST 52 WEEKS IN % (EXPECTED IF INDICATED) month -3 months -6 months -1 year Higher Average Lower United States Federal funds target Treasury bill 3 months Treasury bonds 2 years Treasury bonds 5 years Treasury bonds 10 years Treasury bonds 30 years S&P 500 index (level) DJIA index (level) Gold price (US$/ounce) CRB index (level) WTI oil (US$/barrel) ,874 25,768 1, ,850 25,669 1, ,819 25,451 1, ,721 24,753 1, ,747 25,310 1, ,443 21,814 1, ,874 26,617 1, ,682 24,348 1, ,444 21,753 1, Canada Overnight target Treasury bill 3 months Treasury bonds 2 years Treasury bonds 5 years Treasury bonds 10 years Treasury bonds 30 years Spread with the U.S. rate (% points) Overnight target -0 Treasury bill 3 months -6 Treasury bonds 2 years Treasury bonds 5 years -0 Treasury bonds 10 years -5 Treasury bonds 30 years S&P/TSX index (level) Exchange rate (C$/US$) Exchange rate (C$/ ) 16, , , , , , , , , Overseas ECB Refinancing rate Exchange rate (US$/ ) United Kingdom BoE Base rate Bonds 10 years FTSE index (level) Exchange rate (US$/ ) , , , , , , , , , Bonds 10 years DAX index (level) , , , , , , , , ,787 BoJ Main policy rate Nikkei index (level) Exchange rate (US$/ ) 22, , , , , , , , , CRB: Commodity Research Bureau; WTI: West Texas Intermediate; ECB: European Central Bank; BoE: Bank of England; BoJ: Bank of Note: Data taken at markets closing, with the exeption of the current day where they were taken at 11:00 a.m. 10
Canada s Sales Are Disappointing in September
WEEKLY NEWSLETTER Canada s Sales Are Disappointing in September #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Steepest rise in leading indicator since 2010. ff Surprising drop in U.S. new durable
More informationOil at Lowest Point in Nearly a Year
WEEKLY NEWSLETTER Oil at Lowest Point in Nearly a Year # BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Slight increase in housing resales in. ff Canada: Wholesale and retail sales continue to
More informationBank of Canada Still Planning a Key Rate Hike in July
WEEKLY NEWSLETTER Bank of Canada Still Planning a Key Rate Hike in July #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: New home sales rebounded in. ff U.S. real GDP growth was slightly downgraded
More informationEmployment Trend Still Strong in North America
WEEKLY NEWSLETTER Employment Trend Still Strong in North America # BEST OVERALL FORECASTER - HIGHLIGHTS ff Jerome Powell nominated as Chair of the Federal Reserve. ff United States: Employment does not
More informationThe new budgetary measures in the 2016 Federal Budget will make deficits balloon
March 24, 2016 The new budgetary measures in the 2016 Federal Budget will make deficits balloon Highlights United States: New home sales edge up, but resales tumble. Federal Budget: Total deficits of approximately
More informationUncertainty Lowers Bond Yields
WEEKLY NEWSLETTER Uncertainty Lowers Bond Yields #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff U.S. home sales were down in. ff Canada: Wholesale sales return to positive territory. A LOOK AHEAD ff U.S. hires
More informationSharp Rise in Prices in January in Canada
WEEKLY NEWSLETTER Sharp Rise in Prices in January in Canada # BEST OVERALL FORECASTER - HIGHLIGHTS ff Canada: Inflation Rising Faster than Expected. ff Canada: December saw a drop in wholesale and retail
More informationDisappointing Start of the Year for Canada s Economy
WEEKLY NEWSLETTER Disappointing Start of the Year for Canada s Economy # BEST OVERALL FORECASTER - HIGHLIGHTS ff U.S. real GDP in Q4 207 was upgraded. ff United States: Real consumption stagnated in. ff
More informationThe Markets Remain Pessimistic
WEEKLY NEWSLETTER The Markets Remain Pessimistic #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff United States: Housing starts and resales climbed slightly in October. ff United States: New orders for
More informationThe Bank of Canada Takes a More Neutral Tone
WEEKLY NEWSLETTER The Bank of Canada Takes a More Neutral Tone #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff U.S. job creation in February retreats. ff United States: The ISM manufacturing index rose
More informationThe Bank of Canada Raises Its Rates and Appears Confident
WEEKLY NEWSLETTER The Bank of Canada Raises Its Rates and Appears Confident #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff United States: Another strong real GDP growth in Q3. ff United States: A new
More informationRetail Sales Rebound in Canada and the United States
WEEKLY NEWSLETTER Retail Sales Rebound in Canada and the United States #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff Retail sales in the United States rebounded significantly in. ff Canada: The total
More informationTough Negociations on NAFTA
WEEKLY NEWSLETTER Tough Negociations on NAFTA # BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: The Conference Board s consumer confidence index hit its highest point since October 2000. ff U.S.
More informationThe Escalation of Protectionism Incites Worries
WEEKLY NEWSLETTER The Escalation of Protectionism Incites Worries #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Jerome Powell starts his mandate as Federal Reserve s Chairman with a rate hike.
More informationMarkets Extend Their Rebound
WEEKLY NEWSLETTER Markets Extend Their Rebound #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Manufacturing output rebounded in December. ff U.S. consumer confidence plunged in January. ff Canada:
More informationInternational Data Heighten Doubts as to the Strength of the Economy
WEEKLY NEWSLETTER International Data Heighten Doubts as to the Strength of the Economy #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Inflation edges up due to energy. ff United States: A rebound
More informationFederal Reserve Holds Off on Key Rate Hikes for 2019
WEEKLY NEWSLETTER Federal Reserve Holds Off on Key Rate Hikes for 2019 #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff The Federal Reserve suggests maintaining the status quo throughout the year and
More informationPrice Increases Shows More Bite in the United States
FEBRUARY 6, 208 WEEKLY NEWSLETTER Price Increases Shows More Bite in the United States # BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Prices climb while retail sales and industrial production
More informationDisappointing Data from the United States
WEEKLY NEWSLETTER Disappointing Data from the United States #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Serious decline in retail sales and manufacturing output. ff Inflation is down in the
More informationA Difficult Week for Stock Markets
WEEKLY NEWSLETTER A Difficult Week for Stock Markets #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Modest growth in consumer prices. ff Canada: The number of housing starts declined in. A LOOK
More informationRenewed optimism in the markets
May 27, 2016 Renewed optimism in the markets Highlights New home sales surge in the United States. U.S. GDP upgraded slightly for the first quarter. The Bank of Canada kept the target for the overnight
More informationEconomic Indicators of the Week... 6
WEEKLY NEWSLETTER Another Brexit Delay #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Gas is pushing up inflation. ff U.S. unemployment insurance claims are the lowest since October 1969. ff
More informationFewer Key Rate Hikes in 2019
WEEKLY NEWSLETTER Fewer Key Rate Hikes in 2019 #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff United States: Washington s partial budget standoff interferes with the release of economic indicators.
More informationItaly Brings Renewed Concerns on Markets
WEEKLY NEWSLETTER Italy Brings Renewed Concerns on Markets #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff Unsurprisingly, the Federal Reserve ordered a new key rate hike. ff United States: The Conference
More informationMarkets React to the Federal Reserve Chair
WEEKLY NEWSLETTER Markets React to the Federal Reserve Chair # BEST OVERALL FORECASTER - HIGHLIGHTS ff U.S. new home sales dip again. ff United States: s real consumption was stronger than anticipated.
More informationStock Market Suffers Biggest Weekly Loss Since Winter 2016
WEEKLY NEWSLETTER Stock Market Suffers Biggest Weekly Loss Since Winter 2016 #1 BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Jobs and wages off to a good start in 2018. ff United States: Slight
More informationGreenback Tumbled to a 3-Year Low
WEEKLY NEWSLETTER Greenback Tumbled to a 3-Year Low #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff United States: A weaker-than-expected year-end... at first glance. ff U.S. home sales dropped in December.
More informationHurricanes Cause a Drop in Employment in the United States
WEEKLY NEWSLETTER Hurricanes Cause a Drop in Employment in the United States # BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: First drop in employment since 200. ff United States: Strongest monthly
More informationU.S. real GDP slowed again
January 29, 2016 U.S. real GDP slowed again Highlights United States: More weak growth in real GDP. Unsurprisingly, the Federal Reserve opts for the status quo. U.S. consumer confidence picks up in January.
More informationStrong Growth Persists in Canada
WEEKLY NEWSLETTER Strong Growth Persists in Canada # BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Another August with disappointing job growth. ff U.S. real GDP growth for the second quarter
More informationTensions in the United States Affect Stock Markets
WEEKLY NEWSLETTER Tensions in the United States Affect Stock Markets # BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Retail sales blast past expectations. ff Slight drop in U.S. manufacturing
More informationAnother disappointing quarter for the U.S. economy
JANUARY 27, 2017 WEEKLY NEWSLETTER Another disappointing quarter for the U.S. economy HIGHLIGHTS United States: Another quarter of modest real GDP growth wraps up a disappointing year. United States: Existing
More informationWage Hikes in the United States Have Pushed Bond Yields Up
WEEKLY NEWSLETTER Wage Hikes in the United States Have Pushed Bond Yields Up #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff United States: The ISM manufacturing index has reached its highest level since
More informationBrexit: Market reaction cools
June 30, 2016 Brexit: Market reaction cools Highlights Growth in U.S. consumption returns to a more normal pace. U.S. consumer confidence surges according to the Conference Board. Canada: As anticipated,
More informationThe Bank of Canada Causes a Surprise
WEEKLY NEWSLETTER The Bank of Canada Causes a Surprise # BEST OVERALL FORECASTER - HIGHLIGHTS ff United States: Hurricane Harvey causes jobless claims to explode. ff The Bank of Canada orders another key
More informationCanada s trade balance winds up the first quarter on a sour note
Canada s trade balance winds up the first quarter on a sour note May 6, 2016 Highlights April posts fewer hires than anticipated in the United States. United States: Manufacturing ISM drops while the non-manufacturing
More informationTotal inflation drops back below the lower target in Canada
Total inflation drops back below the lower target in Canada November 22, 2013 Highlights United States: Retail sales beat expectations, slightly. Home resales decline in the United States. United States:
More informationThe United Kingdom will hold a referendum in June on leaving the European Union
The United Kingdom will hold a referendum in June on leaving the European Union February 26, 2016 Highlights Slight upward revision of Q4 2015 U.S. real GDP. Strong rebound by new durable goods orders
More informationJanet Yellen s remarks point to a rise in key rates at the March meeting
FEBRUARY 17, 2017 WEEKLY NEWSLETTER Janet Yellen s remarks point to a rise in key rates at the March meeting HIGHLIGHTS United States: Retail sales and inflation ramp up while industrial output and housing
More informationHousing Market Continues to Go Down in Canada
WEEKLY NEWSLETTER Housing Market Continues to Go Down in Canada #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff United States: Retail sales disappoint again, but industrial production rebounds. ff Household
More informationU.S. employment wrapped up 2014 on a strong note
U.S. employment wrapped up 2014 on a strong note January 9, 2015 Highlights United States: Best year for employment since 1999. United States: The non-manufacturing ISM also fell in December. Employment
More informationStronger than forecast inflation in Canada and the United States
June 20, 2014 Stronger than forecast inflation in Canada and the United States Highlights The Federal Reserve downgrades its growth forecast but stays the course with securities purchases tapering. Inflation
More informationResidential Construction Picks Up in Canada Ahead of New Restrictive Measures
WEEKLY NEWSLETTER Residential Construction Picks Up in Canada Ahead of New Restrictive Measures #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff United States: Another solid gain for jobs. ff Second consecutive
More informationThe Federal Reserve Starts Reducing its Balance Sheet
WEEKLY NEWSLETTER The Federal Reserve Starts Reducing its Balance Sheet #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff The Federal Reserve (Fed) announces a gradual wind-down of its balance sheet as
More informationThe Bank of Canada raises its inflation forecast
April 17, 2014 The Bank of Canada raises its inflation forecast Highlights Retail sales surge more than forecast in the United States. United States: Disappointing rise in housing starts in March. Inflation
More informationEncouraging indicators in the United States
November 18, 2016 Encouraging indicators in the United States HIGHLIGHTS United States: More firm growth in retail sales. Strong rebond for U.S. housing starts. Rising gas prices push consumer prices up
More informationCanadian Retail Sales Disappoint
WEEKLY NEWSLETTER Canadian Retail Sales Disappoint #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff United States: Housing starts next in line to be affected by the hurricanes. ff After declining as a
More informationConcerns rise over banks financial health in Europe
September 30, 2016 Concerns rise over banks financial health in Europe HIGHLIGHTS United States: Sharp rise in the Conference Board consumer confidence index. Canada: Real GDP by industry grew by 0.5%
More informationThe Federal Reserve expects fewer rate increases
The Federal Reserve expects fewer rate increases March 18, 2016 Highlights The Federal Reserve is not ready for a second rate increase. United States: Retail sales fall slightly in February. Housing starts
More informationBetter economic data in the United States
May 13, 2016 Better economic data in the United States Highlights United States: Retail sales post an encouraging rebound. U.S. consumer confidence goes up in May. Canada: Investment intentions remain
More informationCanada s real GDP rebounded last spring
August 29, 2014 Canada s real GDP rebounded last spring Highlights U.S. consumer spending fell in July, but consumer confidence is still going up. United States: Slight upside change to Q2 s real GDP growth.
More informationInvestors get edgier still
October 10, 2014 Investors get edgier still Highlights New jobless claims remain very low in the United States. Canada: The labour market created 74,100 jobs in September. A look ahead United States: Retail
More informationCanada s economy surprisingly robust in the third quarter
November 28, 2014 Canada s economy surprisingly robust in the third quarter Highlights United States: Real GDP growth is revised upwards to 3.9%. United States: Surprise drop by the Conference Board s
More informationCanada Spared from New U.S. Tariffs... for Now
WEEKLY NEWSLETTER Canada Spared from New U.S. Tariffs... for Now #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff United States: 313,000 new jobs created in February! ff The U.S. balance of trade deteriorated
More informationThe markets get the year off to a quieter start
JANUARY 13, 2017 WEEKLY NEWSLETTER The markets get the year o to a quieter start HIGHLIGHTS U.S. retail sales: A disappointing end to the year. Canada: Business confidence is on the rise. A LOOK AHEAD
More informationCanada s inflation surges above the median target
FEBRUARY 24, 2017 WEEKLY NEWSLETTER Canada s inflation surges above the median target HIGHLIGHTS United States: Home resales reach their highest level in 10 years. Canada: Wholesalers sales were up 0.7%
More informationCanadian inflation has returned to the median target
Canadian inflation has returned to the median target May 23, 2014 Highlights Home sales finally went up in the United States in April. Canada: The total annual inflation rate has reached the median target.
More informationEmployment confirms an imminent U.S. key rate increase
MARCH 10, 2017 WEEKLY NEWSLETTER Employment confirms an imminent U.S. key rate increase HIGHLIGHTS United States: Further good employment growth. Canada: The trade balance improved slightly in January.
More informationA generalized upswing in bond yields
Cooperation Week October 16 to 22, 2016 Desjardins supports thousands of student retention and educational success projects, sources of greater economic prosperity. For more information, go to desjardins.com.
More informationThe Canadian trade balance rebounds in September
The Canadian trade balance rebounds in September November 15, 2013 Highlights Industrial output in the United States dips slightly. United States: the New York Federal Reserve manufacturing index posts
More informationThe focus is on Brexit
June 17, 2016 The focus is on Brexit Highlights Employment and Brexit keep U.S. key rates from going up United States: Retail sales continued to advance at a good clip in May, but industrial production
More informationThe weather has hampered the Canadian labor market in April
May 9, 2014 The weather has hampered the Canadian labor market in April Highlights United States: The trade deficit improved slightly in March. United States: Labour productivity lost ground in the first
More informationThe Canadian dollar keeps on sliding
January 15, 2015 The Canadian dollar keeps on sliding Highlights United States: Retail sales and industrial production ended 2015 down. Confidence climbed in January. Canada: Housing starts plunged in
More informationThe Vancouver real estate market reacted strongly to the new tax
The Vancouver real estate market reacted strongly to the new tax September 16, 2016 HIGHLIGHTS United States: Retail sales and industrial output decline. United States: Regional manufacturing indexes head
More informationCanadian household debt remains very high
September 12, 2014 Canadian household debt remains very high Highlights United States: Welcome acceleration in retail sales. A sharp increase in consumer credit in the United States in July. U.S. household
More informationThe U.S. economy picked up some pace in the third quarter
October 28, 2016 The U.S. economy picked up some pace in the third quarter HIGHLIGHTS United States: Real GDP expands a bit faster than expected. U.S. consumer confidence falls in October, according to
More informationMarket reaction to Donald Trump s election is fairly upbeat
November 10, 2016 Market reaction to Donald Trump s election is fairly upbeat HIGHLIGHTS Donald Trump elected the 45 th president of the United States. Canada: Housing starts fell to 192,900 units in.
More informationFederal Reserve: the suspense remains
September 11, 2015 Federal Reserve: the suspense remains Highlights United States: The University of Michigan consumer confidence index deteriorates. The Bank of Canada leaves its key rates unchanged.
More informationMarkets Bounce Back, but Doubts Remain as to the Strength of the Economy
FEBRUARY 20, 2019 ECONOMIC & FINANCIAL OUTLOOK Markets Bounce Back, but Doubts Remain as to the Strength of the Economy #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff Clouds continue to build over the
More informationSerious Doubts Remain despite Encouraging Signs
APRIL 18, 2019 ECONOMIC & FINANCIAL OUTLOOK Serious Doubts Remain despite Encouraging Signs #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff The global economy and the volume of trade both remain fragile,
More informationIn the third quarter, Canadian real GDP showed its strongest growth in two years
In the third quarter, Canadian real GDP showed its strongest growth in two years November 29, 2013 Highlights United States: Healthy growth in building permits in September and October. Home prices continue
More informationInterest Rates Continue to Climb
SEPTEMBER 3, RETAIL RATE FORECASTS Interest Rates Continue to Climb # BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff North American economic growth rebounded in the spring. ff The Bank of Canada and the
More informationConfusion Reigns as U.S. Budget Impasse Drags On
JANUARY 21ST, 2019 ECONOMIC & FINANCIAL OUTLOOK Confusion Reigns as U.S. Budget Impasse Drags On #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff The problems continue to mount in the euro zone. Industrial
More informationRates Will Continue to Go Up in 2018
DECEMBER 1, RETAIL RATE FORECASTS Rates Will Continue to Go Up in #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff The economic context remains very favourable. ff Interest rates will continue to rise
More informationAnother break for borrowers
February, Another break for borrowers Highlights New concerns over emerging nations. The growth outlook remains favourable. The Bank of Canada s comments impact Canadian financial markets, especially the
More informationRenewed optimism despite looming U.S. monetary firming
November 1, 1 Renewed optimism despite looming U.S. monetary firming Highlights Investor optimism improves after a tough third quarter. Canada s economy is doing much better than in the first half of the
More informationCanadian Key Rates May Rise Shortly
JUNE 15, RETAIL RATE FORECASTS Canadian Key Rates May Rise Shortly #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff Positive signs for the global and Canadian economies. ff The Bank of could initiate
More informationLabour Market: Quebec Loses Ground, Ontario Makes Gains
ECONOMIC NEWS Labour Market: Loses Ground, Makes Gains HIGHLIGHTS ff As in August, s labour market dipped slightly in September (-7,6). ff The unemployment rate ticked down from % to % due to the 12,4
More informationThe difficult start to the year confirms that rates will remain very low
The difficult start to the year confirms that rates will remain very low February 9, 16 Highlights Tough start to the year on financial markets. Monetary policies will remain highly expansionist. The drop
More informationDespite the Uncertainty, Monetary Tightening Is Expected to Continue
JUNE 1, RETAIL RATE FORECASTS Despite the Uncertainty, Monetary Tightening Is Expected to Continue #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff The latest economic data in North America is encouraging
More informationCanadian Rate Hikes Begin Quite Suddenly
SEPTEMBER 4, RETAIL RATE FORECASTS Canadian Rate Hikes Begin Quite Suddenly # BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff Economic growth is strong all around the world. ff The Bank of Canada quickly
More informationQuebec Ontario: Strong Job Creation in November, With Unemployment at About 5.5%
ECONOMIC NEWS : Strong Job Creation in November, With Unemployment at About % HIGHLIGHTS ff recorded a second consecutive monthly increase in employment, with 25,800 new jobs created in November. ff performed
More informationWEEKLY CHANGES AGAINST THE USD MACRO & MARKETS COMMENTARY
July 03, 2017 [ W E E K LY E C O N O M I C C O M M E N TA R Y ] WEEKLY ANALYSIS FOR THE MOST CRITICAL ECONOMIC AND FINANCIAL DEVELOPMENTS MACRO & MARKETS COMMENTARY» Central banker s comments dominated
More informationEmployment Figures for September Down in Quebec, Up in Ontario
ECONOMIC NEWS Employment Figures for September Down in, Up in HIGHLIGHTS ff saw the highest job creation in in September, with new jobs. Part-time employment recorded the most gains. ff The unemployment
More informationInterest Rate Normalization Could Take a Break
DECEMBER 11, RETAIL RATE FORECASTS Interest Rate Normalization Could Take a Break #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS ff International worries and concerns that the U.S. economy is slowing are
More informationEditor: Thomas Nilsson. The Week Ahead Key Events Jul, 2017
Editor: Thomas Nilsson The Week Ahead Key Events 10 16 Jul, 2017 European Sovereign Rating Reviews Recent rating reviews Upcoming rating reviews Source: Bloomberg Monday 10, 08.00 NOR: CPI (Jun) SEB Cons.
More informationPace of hiring slows in Quebec and Ontario in February
MARCH 10, 2017 ECONOMIC NEWS Pace of hiring slows in and in February HIGHLIGHTS According to the labour force survey, employment in declined in February (-11,100). This decline puts the brakes on seven
More informationRETAIL RATE FORECASTS The start of Donald Trump s mandate should set the tone for 2017
ECONOMIC STUDIES JANUARY 12, 17 RETAIL RATE FORECASTS The start of Donald Trump s mandate should set the tone for 17 HIGHLIGHTS ffheading for slightly stronger economic growth in 17. ffthe Federal Reserve
More informationQuebec-Ontario: Demographics are shaping the labour market
MAY 5, 2017 ECONOMIC NEWS -: Demographics are shaping the labour market HIGHLIGHTS recorded a loss of 3,800 jobs in April, after an increase of 2,400 in the previous month. The unemployment rate climbed
More informationWEEKLY CHANGES AGAINST THE USD MACRO & MARKETS COMMENTARY
July 31, 2017 [ W E E K LY E C O N O M I C C O M M E N TA R Y ] WEEKLY ANALYSIS FOR THE MOST CRITICAL ECONOMIC AND FINANCIAL DEVELOPMENTS MACRO & MARKETS COMMENTARY» Federal Open Market Committee (FOMC)
More informationQuebec and Ontario: Employment Rises in March While the Unemployment Rate Treads Water
APRIL 6, 218 ECONOMIC NEWS and : Employment Rises in March While the Unemployment Rate Treads Water HIGHLIGHTS ff Both and boosted their employment ranks in March, with respective gains of 16, and 1,6.
More informationEmployment Stumbles in Quebec and Falls in Ontario in August
SEPTEMBER 7, 218 ECONOMIC NEWS Employment Stumbles in and Falls in in August HIGHLIGHTS ff posted a loss of 8,1 jobs in August, following growth of 95,5 jobs during the two previous months. It was part-time
More informationThe labour market heated up in Quebec and stabilized in Ontario in January
QUEBEC ONTARIO The labour market heated up in Quebec and stabilized in Ontario in January February 6, 15 highlights According to the labour force survey, 16, jobs were created in Quebec in January. At
More informationOntario Economic Accounts
SECOND QUARTER OF 2017 April, May, June Ontario Economic Accounts ONTARIO MINISTRY OF FINANCE Table of Contents ECONOMIC ACCOUNTS Highlights 1 Ontario s Economy Continues to Grow Expenditure Details 2
More information[ ] WEEKLY CHANGES AGAINST THE USD
January 22, 2018 [ ] MACRO & MARKETS COMMENTARY» The U.S economy and inflation expanded at a Modest to Moderate pace during December 2017, while wages continued to push higher according to the Federal
More informationWeek in review. Week ending: April 27, 2018
Week ending: April 27, 2018 MAJOR NEWS: Global equity markets were mixed for the week, amid concerns about higher borrowing rates for companies, with U.S. Treasury yields hitting the 3% mark for the first
More informationProvided to you by Lee McLain
Provided to you by Lee McLain Lee McLain First Federal Bank of Kansas City 816.728.7700 lee.mclain@ffbkc.com NMLS:680316 Contents Weekly Review: week of June 18, 2018 Economic Calendar week of June 25,
More informationQuebec and Ontario create jobs in May
ECONOMIC NEWS and create jobs in May #1 BEST OVERALL FORECASTER - CANADA HIGHLIGHTS GRAPH ff created 14,9 new jobs in May. Job growth in and has been comparable for the past two years, despite the differences
More informationBusiness Debt ECONOMIC VIEWPOINT. Is It Really Better to Reduce It? ECONOMIC STUDIES DECEMBER 17, 2018
DECEMBER 17, ECONOMIC VIEWPOINT Business Debt #1 BEST OVERALL FORECASTER - CANADA Is It Really Better to Reduce It? Business debt appears high in some countries. This can feed the fears surrounding future
More informationThe labour market stands still in August
QUEBEC ONTARIO September 5, 14 The labour market stands still in August highlights Statistics Canada reports that Quebec added a lacklustre 4,1 jobs in August. 4,1 Employment trends in Quebec and Ontario
More information