Canada’s gross domestic product in November rose by 0.6%, surpassing the pre-pandemic level by 0.2% thanks to growth across almost all sectors of the economy, according to data released by Statistics Canada on Tuesday. November’s strong growth can be credited to Canada’s high vaccination rates. With ... READ MORE >
omicron variant
Acceleration of wage increases raises caution flag for policymakers
Friday’s report that the Employment Cost Index had increased at the fastest pace in decades confirmed that the Great Resignation is bolstering the bargaining power of workers. The wage component of the index has now accelerated from a 2.5% rate of increase in the third quarter of 2020 to 4.2% a ... READ MORE >
RSM US Manufacturing Outlook Index: Omicron’s dampening effect
The RSM US Manufacturing Outlook Index receded again in January, providing another indication of the direct effect of the omicron variant on the business community and a sign of the eventual moderation of the post-crisis surge in growth. While the manufacturing sector continued to grow, the ... READ MORE >
U.S. jobs preview: Stick a giant omicron asterisk on the January report
The omicron variant has almost surely created significant distortions in the American workforce that will become evident when the jobs report for January is released on Friday. Investors, policymakers and firm managers should essentially write off the report as a one-time set of noise that will not ... READ MORE >
Monetary and fiscal policy in a changing economy: Reflation, and the risks that remain
This is the last in a series of articles regarding monetary and fiscal policy as the economy restarts within a changing framework of labor force choices, automation and pricing. The first article examined the Fed’s challenge in meeting its mandate for full employment. The second looked at the Fed’s other ... READ MORE >
Chart of the day: Consumer confidence falls amid omicron fears
The consumer sentiment index inched down to 67.2 in January from 70.6 in December as concerns over the omicron variant's surge weighed on consumers both now and in the future, according to a report from the University of Michigan on Friday. The index—known for its strong dependence on gasoline ... READ MORE >
5 things to know in life sciences: Week of Jan. 24
This week we look at the ethical challenges facing neuroscientists as they recruit patients for clinical research. We also look at a ride share company entering the health care space and what it may mean for clinical trial recruitment, CBD as a prevention measure for COVID-19, deltacron and ... READ MORE >
Chart of the day: Initial jobless claims drop as omicron crests
New filings for jobless claims fell to 260,000 last week, following the 14-week high of 290,000 in the previous week, as COVID-19 cases continued to retreat from their recent record high, according to government data released Thursday. Still, it marked the third week in a row that new jobless claims ... READ MORE >
U.S. GDP increases 6.9% in fourth quarter
The American economy closed out last year on an upbeat note, finishing with a 6.9% growth rate in the fourth quarter on a seasonally adjusted annualized pace, according to Commerce Department data released on Thursday. For the full year, growth advanced by 5.7%, the strongest rate since 1984. The ... READ MORE >
Fed to use conventional and unconventional tools to obtain price stability
The Federal Reserve on Wednesday signaled that it intends to use both conventional and unconventional tools to address risks to the economic outlook caused by inflation even as the economy remains short of full employment. The major changes to the Federal Open Market Committee statement released after ... READ MORE >