Monetary
Hot UK wage data focused investors’ attention on the Bank of England’s battle against sticky inflationary pressures on Tuesday. The 7.3% y/y increase in weekly earnings (excluding bonuses) in the three months to May surpassed expectations of a 7.1% y/y rise…
The latest update of the Manheim Used Vehicle Price Index provides a positive signal for US goods inflation. It shows used car prices fell by -4.2% m/m (-10.1% y/y) in June – its third consecutive monthly decline following a brief pickup in…
On Monday, the Eurozone Sentix sent a pessimistic signal about investor confidence in the Eurozone economy. The headline index dropped from -17.0 to -22.5 in July, significantly below expectations of a more muted deterioration to -17.9. Both the Expectations…
Last week’s labor market data signal that US employment conditions remain strong – solidifying the case for a 25 bps rate hike at the Fed’s next meeting later this month (see The Numbers). Yet in order for the Fed to continue tightening beyond July,…
On the surface, the lower-than-anticipated job gains suggest that US labor market conditions softened last month. Friday’s jobs report revealed that the increase in nonfarm payrolls slowed from a downwardly revised 306 thousand to 209 thousand in June – below…
Canadian hiring surprised to the upside in June. The 60 thousand increase in employment last month – the highest since January – came in triple expectations of a 20 thousand rise and follows a 17 thousand decline in May. The increase mainly reflects a sharp…
Positive economic surprises have delayed the onset of recession in the United States. But tighter monetary and fiscal policy, slowing global growth, and a looming rebound in policy uncertainty and geopolitical risk suggest that investors should buy insurance while it is cheap.
A perspective on the recent increase in US bond yields and this morning’s employment report.
In this short weekly report, we review some of the most common questions clients asked us in the last few weeks.
Global stocks fell and sovereign bond yields surged on Thursday following the release of stronger-than-anticipated US labor market data. Data released by Challenger, Gray, & Christmas showed job cuts declined to 40,709 last month from 80,089 in May.…