The Federal Reserve increased its policy rate by 75 basis points on Wednesday to a range between 3.75% and 4% as it hinted at slowing the pace of its hikes. … READ MORE >
interest rates
Job openings and manufacturing production grow more than expected
Job openings came in hotter than expected in September, suggesting that the imbalance in the labor market will take longer to resolve than originally anticipated. … READ MORE >
U.S. new home sales fell 10.9% in September
The steep rise in mortgage rates has been the number one reason for the fall in demand. As the Federal Reserve increases interest rates to combat inflation, mortgage rates have spiked to a multi-decade high of more than 7%. … READ MORE >
Bank of Canada announces smaller-than-expected 50-basis-point hike
Reasons for increasing interest rates are plentiful amid strong core inflation, high inflation expectations, a tight labor market, and excess demand in the economy. … READ MORE >
As turmoil grows, foreign banks and investors flock to the dollar
Whether it is the purchase of short-term Treasury notes, deposits in U.S. financial institutions or a use of the Fed’s overnight reverse repurchase facility, investors are in a flight to safety … READ MORE >
Initial jobless claims fall below pre-pandemic level
New claims for jobless benefits fell by 5.3% to 214,000, below the pre-pandemic average in 2019 as layoffs remain historically low. … READ MORE >
U.S. housing starts continue to fall amid rate hikes
New housing starts fell by 8.1% in September as the impact of rising mortgage rates worked through the housing market. … READ MORE >
Canada’s inflation refuses to cool
Canada’s CPI rose by 6.9% on a year-over-year basis, slightly down from 7% in August, continuing a three-month streak of decline. … READ MORE >
End of an era? Bond market selloff prompts a new regime
The dramatic fiscal and monetary response to the pandemic has elicited a structural break in globalization, growth and liquidity regimes that have driven the world’s economies over the past 25 years. … READ MORE >
Consumer sentiment rises despite worsening inflation expectations
Consumer sentiment rose for the fifth straight month to 59.8 in October but a worsening inflation outlook clouded the otherwise positive news. … READ MORE >