The United States trade deficit reached a record high in January as strong domestic demand continued to push imports higher, especially oil, while exports were dampened by the omicron surge which shut down production and limited travel. … READ MORE >
omicron variant
The impact of an energy shock on Canada’s economy
Although high oil and gas prices had been good news for the Canadian economy over the past few decades, this time is different. … READ MORE >
Service sector moderated amid rising prices and labor crunch
The service sector registered slower growth in February as inflation and labor shortages remained top concerns, according to a report from the Institute for Supply Management on Thursday. … READ MORE >
Initial jobless claims at lowest point since December as omicron retreats
New filings for jobless benefits fell below pre-pandemic levels for the first time since December as the economy continued to recover from the omicron surge. … READ MORE >
Bank of Canada raises rates in response to inflation
The Bank of Canada announced on Wednesday that it would raise its overnight rate to 0.5%, 25 basis points from the lower bound policy rate of 0.25%, to tackle inflation. … READ MORE >
Chart of the day: Manufacturing grows as supply chains improve
The manufacturing purchasing managers’ index rose 1 percentage point to 58.6 in February, registering the 21st consecutive month of growth. … READ MORE >
Canada’s growth picked up at end of last year as economy reopened
The Canadian economy ended last year on a strong note, expanding by 4.6% in 2021 on an annual basis thanks to a reopening economy. … READ MORE >
Consumer confidence sours but capital spending holds strong
The final estimate for consumer sentiment in February came in slightly higher than the advance estimate, rising to 62.8 from 61.7 previously, yet remaining at a decade low. … READ MORE >
Canada’s supply chain worsens amid omicron’s spread
RSM Canada’s Supply Chain Index worsened to 1.84 standard deviations below zero in January, down from a revised 1.36 standard deviations below neutral in December as the omicron variant spread across Canada and the world. … READ MORE >
U.S. consumers spend more in January, defying inflation
Personal spending rebounded in January even as inflation rose at the highest rate in decades. … READ MORE >