North American Trade Results

July 13, 2010

The U.S. goods and services trade deficit of $42.3 billion in May was some 7% wider than forecast and the largest deficit since November 2008.  On-year import growth of 29.1% exceeded export growth of 21.0%.  In twelve months between May 2008 and May 2009 while the U.S. was in recession along with many other countries, […] More

Bank of Canada Releases Two Corporate Surveys

July 12, 2010

The Bank of Canada‚Äôs first rate increase of the cycle on June 1st was justified by evidence of economic recovery.  Even though pausing in April, real GDP still expanded 5.0% annualized over the latest six reported months.  Employment climbed 1.5% in the year to June, and service sector jobs soared 7.5% annualized last quarter.  Two […] More

A Very Hot Canadian Labor Market

July 9, 2010

Canadian jobs jumped 93.2K last month, which is the same percentage increase as a 707K increase of U.S. non-farm payroll employment.  A broadly-based increase of service sector jobs accounted for the entire rise.  Over the three months of the second quarter, service-sector employment rose 7.5% at an annualized rate, and overall Canadian employment went up […] More

More Evidence of a North American Slowdown

June 30, 2010

According to the ADP estimate, private employment increased just 13K in June, about a fifth as much as expected.  The measly rise in June was the smallest since a 3K uptick in February and compares to 51K per month in March-May.  The data bode poorly for Friday’s Labor Department monthly survey.  According to the latter, […] More

Cynicism Over Euro Area Debt and Beijing’s Yuan Policy Sends Stocks Lower

June 22, 2010

Equiites fell by 1.2% in Japan and Australia, 0.7% in India, and 0.5% in South Korea, Singapore, Sri Lanka and New Zealand.  Downward pressure intensified in Europe where stocks so far show losses of 1.8% in Madrid, 1.6% in Paris and and London, and 1.0% in Frankfurt.  U.S. futures are lower, too. The yuan trimmed […] More

Canada and United States Release Several Indicators: Highlights

June 15, 2010

Foreigners on net bought over $100 billion of long-term U.S. securities for a second straight month in April.  The two-month average, $134.2 billion, compares very favorably with $43.8 billion per month in January-February, $53.3 billion per month in 2009 and $34.3 billion per month in 2008 and even exceeded the pace of $83.4 billion in […] More

Bank of Canada to Implement First Tightening Tuesday

May 31, 2010

Canada’s overnight money rate target has been at 0.25% since April 2009.  For the ensuing year, monetary officials also had made a contingent pledge not to raise the target before mid-2010.  Repo operations had also been undertaken to augment money market liquidity.  The end of those additional features of the accommodative credit policy ended six […] More

Canadian GDP and Producer Prices

May 31, 2010

Canadian real GDP re-intensified at the end of the first quarter, advancing 0.6% on month in March after an increase of 0.2% in February.  That was the fourth time in five months in which GDP grew at least 0.5%.  In the latest month, industrial production, wholesale turnover, and retail sales recorded robust monthly gains of […] More

Canadian and U.S. Trade Balances Weakened in March on Energy

May 12, 2010

Because the United States and Canada do so much trade with one another, their trade balances often move in opposite directions.  That did not happen in March, however.  The U.S. goods and services deficit widened 2.5% to $40.4 billion, and the merchandise trade shortfall climbed 3.5% to $52.9 billion. Canada’s trade surplus plunged 78.0% to […] More

Bank of Canada Releases Less Dovish Statement

April 20, 2010

At the third of eight scheduled monetary policy meetings in 2010, the Bank of Canada took three actions, the gist of which points to an initial rate hike getting announced on June 1 after the next meeting.  Remarks by officials including a major address by Governor Carney on March 25 already had prepared investors for […] More