Through November this year, the American economy has produced 2.58 million jobs as inflation has eased from 6.4% to 3.2% all while the unemployment rate has remained below 4%. … READ MORE >
Economics
FOMC preview and the logic of Fed rate cuts in 2024
After nearly two years of raising the federal funds policy rate to restore price stability, the Federal Reserve is poised to all but declare that campaign to be over at its meeting next week. … READ MORE >
Initial jobless claims remain resilient
Initial jobless claims inched up slightly to 220,000 last week, remaining within the pre-pandemic level, the Labor Department reported on Thursday. … READ MORE >
Bank of Canada holds at 5% as excess demand is stomped out
With the economy having contracted in the third quarter, the Bank of Canada on Wednesday shifted its tone on monetary policy from hawkish to neutral as it held its policy rate steady at 5 per cent. … READ MORE >
Job openings fall to lowest level since 2021, signaling Fed pivot
With 8.7 million job openings in October, the vacancies-to-unemployed ratio has fallen to 1.34, only slightly higher than the pre-pandemic average of around 1.24 … READ MORE >
U.S. economic outlook: Expansion continues into 2024
Expect the economy to settle into its long-term growth rate of around 1.8% next year. Read our forecasts for growth, inflation, unemployment, the dollar, interest rates and fiscal policy. … READ MORE >
Manufacturing sector in U.S. contracts in November
The manufacturing sector contracted for the second month in a row in November as lower overall demand and persistent labor shortages took their toll, the Institute for Supply Management reported on Friday. … READ MORE >
Canada’s unemployment rises to 5.8%, adding to case for rate cuts
Together with the weak third-quarter gross domestic product report on Thursday, November’s jobs data shifts the Bank of Canada’s focus from rate hikes to rate cuts. … READ MORE >
Canada’s economy contracted more than expected, suggesting a pivot on rates
Canada’s gross domestic product declined by 0.3 per cent in the third quarter and by 1.1 per cent on an annualized basis. … READ MORE >
Inflation slows again, pointing to another rate pause
The personal consumption expenditures price index, the Federal Reserve’s favorite inflation metric, was unchanged on the month, while the core measure rose by 0.2%. … READ MORE >