The strike by port workers along the East and Gulf coasts of the United States will provide a modest hit to GDP of a little more than 0.1 percentage points per week, or roughly $4.3 billion in lost exports and imports. … READ MORE >
Economics
Inflation falls to lowest level since February 2021
With the productivity boom and more interest rate cuts coming, the economy is poised to repeat the economic growth and prosperity of the 1990s. … READ MORE >
Robust economic revisions defy recession doubts
Significant revisions to income and gross domestic product from 2020 through last year help explain why the market underestimated the continuing robust economic rebound. … READ MORE >
American outperformance in the post-pandemic global economy
The U.S. economy is outperforming in growth and employment, and in controlling inflation, without causing the economy to fall into an extended period of slow growth or outright recession. … READ MORE >
Fed cuts rates to support a soft landing in the economy
The Federal Reserve on Wednesday reduced its policy rate by 50 basis points to a range between 4.75% and 5% to protect full employment and preserve the soft landing in the economy. … READ MORE >
Canada’s consumer price index hits 2 per cent target
The Bank of Canada will need to continue rate cuts amid disinflation as well as rising unemployment and sluggish growth. … READ MORE >
U.S. retail sales and industrial production beat expectations
The data should temper the market’s concern about growth that has triggered calls for a 50 basis-point cut in the Federal Reserve’s policy rate at its meeting this week. … READ MORE >
Real federal funds rate illustrates that Fed policy is restrictive
With underlying inflation having fallen to between 2% and 2.5%, and the federal funds rate standing at 5.5%, capital investment has become prohibitively expensive for many businesses. … READ MORE >
Consumer sentiment rises on improved outlook for inflation and spending
The University of Michigan consumer sentiment index rose to 69 in the first half of September, up from 67.9 earlier. … READ MORE >
Immigration and the rebalancing of the Canadian economy
Canada’s shifting immigration policies highlight the delicate balance between addressing short-term economic concerns and safeguarding long-term growth. … READ MORE >