This week’s FOMC meeting is not likely to include any meaningful announcement on tapering its monthly asset purchases and only a modest change in the Fed’s Summary of Economic Projections and dot plot interest rate forecast. … READ MORE >
Coronavirus
Government deficit widens in August as battle over debt ceiling heats up
As another potential showdown over raising the nation’s debt limit looms, the U.S. budget deficit in August reached $170.6 billion, widening the total deficit in the first 11 months of the 2021 fiscal year to $2.711 trillion. … READ MORE >
Buy later, pay later: Consumers postpone purchases amid high prices
The University of Michigan Consumer Sentiment Index rose slightly to 71.0 in September, following a nine-year low of 70.3 in August as consumers felt the impact of the delta variant and rising prices. … READ MORE >
RSM Canada Financial Conditions Index remains solid as election approaches.
Our index is showing that the level of risk priced into financial assets has been consistently lower than normal. … READ MORE >
As the delta variant spread, worried consumers went online to do their shopping
The strong retail sales figures for August were not only a welcome surprise for retailers after months of decline, but they also showed the enduring impact of the pandemic as consumers relied less on human contact and increasingly shopped at home. … READ MORE >
Initial jobless claims rise in the wake of Hurricane Ida
The economic impact of Hurricane Ida was evident in the most recent initial jobless claims data, which rose to 332,000 for the week ending Sept. 11. … READ MORE >
Import prices dropped below expectation in August, but prices from Asia remained hot
The U.S. import price index decreased by 0.3% in August, the first decline since October 2020, following an upwardly revised 0.4% increase in July, while the core index, which excludes petroleum, fell by 0.1%. … READ MORE >
Chart of the day: Small business optimism inched up in August, yet hiring struggles remained
The small business optimism index increased slightly to 100.1 in August, rising by 0.4 points over July, as employers struggled to fill job openings. … READ MORE >
Consumer Price Index: Inflation eased in August, but it’s too soon to declare victory
Score a victory for team transitory in the inflation wars. The Consumer Price Index eased in August, reaffirming our view that inflation likely formed a peak in the summer following the historic supply shock that defined pandemic economics starting last year. … READ MORE >
Global supply chain disruptions accelerate, presenting a challenge to the middle market
Fragile global supply chains are facing another round of port closures, factory shutdowns, production halts and labor shortages as the delta variant spreads. … READ MORE >