In the face of growing pressure from policymakers and investors to pause, pivot or even cut its policy rate, the Federal Reserve on Wednesday demonstrated why its independence is the sine qua non of monetary policy. The Fed raised its policy rate by three quarters of a percentage point, to a range of ... READ MORE >
Inflation
Canada’s inflation declines amid cooling gas prices
Inflation declined by 0.3% in August for the second monthly decline in a row thanks to cooling gasoline and energy prices, according to data released by Statistics Canada on Tuesday. The consumer price index rose by 7.0% in August on a year-over-year basis, down from a 7.6% gain in July. The easing ... READ MORE >
Earnings call roundup: Space companies
Even as space and intelligence companies grappled with a tight labor market and inflation in the second quarter, they still capitalized on vertical integration efforts and successful launch test phases to remain competitive, according to recent earnings calls. Executives said they were seeking to ... READ MORE >
Are we entering an era of central bank intervention in currency markets?
Over the past week, the Bank of Japan has conducted what Is known as a rate check, or a formal inquiry into the buying or selling price of the Japanese yen. This rate check has been done in preparation for a possible intervention into foreign exchange markets to prop up the declining ... READ MORE >
Consumer sentiment rises to highest level since May
Consumer sentiment improved in September as inflation concerns eased, according to the University of Michigan's index released on Friday. The index rose to 59.5 in September, the highest since May. Still, consumers remain pessimistic compared to before the pandemic, when the long-term average was above ... READ MORE >
Canada housing starts fall amid rising rates
Canada’s housing starts fell to 267,443 in August, a 3% drop from July, continuing the decline in the housing sector because of rising interest rates, according to data released on Friday by the Canada Mortgage and Housing Corporation. The drop, which stemmed entirely from starts of multiunit ... READ MORE >
Industrial production falls for the first time since June
Industrial production fell by 0.2% in August, the first decline in three months, amid a slowdown in manufacturing and a sharp drop in electricity production. At the same time, mining outputs were flat, likely driven by lower oil prices as demand stalled. After a year and a half of robust growth, ... READ MORE >
Retail sales rebound on strong autos spending
Retail sales in the United States rose by 0.3%, in August, driven by a sharp rise in spending on automobiles, according to Commerce Department data released on Thursday. But after adjusting for inflation, real retail sales growth was flat on the month, following the strong rebound of 0.8% in ... READ MORE >
Producer prices ease as energy costs fall
Prices paid to domestic producers deflated for the second month in a row as energy prices continued to fall and food prices remained unchanged. August's producer inflation index for final demand fell by 0.1% from July, according to data released Wednesday by the Bureau of Labor Statistics. On a ... READ MORE >
The dollar’s reign will continue amid a global flight to safety
The U.S. dollar is on a tear, increasing in value against its traditional trading partners as well as against the Chinese renminbi. A combination of factors is fueling the surge, including rising interest rate differentials, a global move to the safe haven of the dollar and an escalation of ... READ MORE >