Canada added 73,000 jobs in March, a relatively modest gain that still helped push the unemployment rate down to 5.3%, the lowest since 1976, according to data released by Statistics Canada on Friday. It is not a coincidence that the unemployment rate is so low while inflation is at its highest level ... READ MORE >
omicron variant
Canada’s GDP rises, led by construction and trade
Canada’s gross domestic product in January increased modestly by 0.2% from December as the effects of the omicron variant paused growth in the services sector. The gain came entirely from goods-producing industries, which increased by 0.8%, while the services-producing industries saw no growth because ... READ MORE >
RSM Canada Supply Chain Index is flat, but challenges await
The RSM Canada Supply Chain Index in February continued to show stress in the economy, measuring 1.89 standard deviation below normal and little changed from January. For a while, conditions looked promising as the economy recovered from the omicron variant’s spread. Yet this progress was offset by ... READ MORE >
RSM US Supply Chain Index posted the best result in a year
As much of the world eases COVID restrictions, we believe that the worst of domestic supply chain issues are in the rear-view mirror. Yet rising infections in some countries, along with geopolitical tensions, could delay a full return to normal. After a dip in January because of the omicron ... READ MORE >
FOMC’s policy decision: Rate hike, balance sheet reduction, revise down forecast, repeat
Policy normalization at the Federal Reserve took a giant step forward on Wednesday as the Federal Open Market Committee hiked the federal funds rate by 25 basis points to between 25 and 50 basis points while slashing its growth forecast and increasing its estimate of inflation. The announcement ... READ MORE >
U.S. retail sales lag inflation in February amid rising energy prices
Retail sales growth fell behind inflation increases in February, posting a weak 0.3% increase, as growth slowed down in most categories except gasoline stations. Consumer rationing because of rising gasoline prices already took place before the Russian invasion of Ukraine. Excluding sales at the gas ... READ MORE >
Canada’s job market is strong but uncertainty lies ahead
The Canadian economy added 337,000 jobs in February as the reopening of the economy more than offset the job losses in January because of the omicron variant, according to data released by Statistics Canada on Friday. The unemployment rate dropped to 5.5%, for the first time falling below the ... READ MORE >
Chart of the day: Initial jobless claims inch up
Initial jobless claims inched up by 11,000 last week, most likely a temporary spike as most of the increase came from New York and California with 16,000 and 6,000 new claims, respectively, according to government data released Thursday. Despite the normal fluctuation of the claims data, new filings ... READ MORE >
Preview of coming attractions: Inflation surges to 7.9%
The February consumer price index provided an unpleasant preview of coming attractions in the U.S. economy as top-line inflation soared by 0.8% on the month, pushing the year-ago reading to 7.9%, the fastest rate in 40 years. It is important to note that the February estimation of inflation ... READ MORE >
Chart of the day: Job openings surpass 11 million in back-to-back months
The scramble by employers to find workers continued amid a historically tight labor market in January, as employers reported 11.3 million job openings for the month, according to government data released on Wednesday. That would have been the highest on record, except that December's figure was revised ... READ MORE >