Australian Economy to Grow by 5.5% in 2022
The Australian economy ended 2021 on a very strong note, expanding by 3.4% in the December quarter – matching the September 2020 outcome, and together the fastest quarterly growth rate since March 1976. The main driver of that growth was...
Aussie Coming Off Sizzling Week
The Australian dollar has taken a breather, as it trades just slightly below the 0.74 line. AUD/USD has posted small losses on Monday, after posting impressive gains of 2% last week. The war in Ukraine has dampered risk appetite, which...
ECB Preview – Inflation Forces the Normalisation Process to Continue
A difficult ECB meeting is due to take place on Thursday next week. After the pivotal hawkish communication shift at the February meeting, the ECB will have to balance a stronger inflation outlook with the highly uncertain economic impact of...
Weekly Economic & Financial Commentary: The U.S. Economy Had Solid Momentum Ahead of Russia’s Invasion
Summary United States: The U.S. Economy Had Solid Momentum Ahead of Russia’s Invasion February’s employment data showed the economy had strong momentum ahead of Russia’s invasion of Ukraine and amid the Fed’s shift to a more hawkish tone on monetary...
The Weekly Bottom Line: Canada – Rate Hikes Have Commenced
U.S. Highlights The labor market added 678k jobs in February, and the unemployment rate fell to 3.8% – the lowest reading since the pandemic began. Early indicators suggest that manufacturing and services sectors were out of sync in February, with...
Canadian Labour Market to Power Back from Omicron Blow
We expect Canada’s job market to have posted a strong comeback from the latest pandemic wave. We expect February’s job report will retrace three-quarters of the 200,000 jobs lost in January. High-contact hospitality sectors again took the brunt of the...
Slumping Euro Drops Below 1.11
The euro has fallen for three straight days and continues to lose ground on Wednesday. EUR/USD has dropped below the 1.11 line for the first time since May 2020, at the height of the first wave of Covid-19. It is...
Canada’s Economy Closes the Year on a High Note
The Canadian economy expanded by 6.7% q/q annualized in the final quarter of 2021, leaving real GDP for 2021 at a robust 4.6%. A big driver of growth was the accumulation of business inventories (easing of supply chains), which grew...
BOC Preview: Will the Bank of Canada be the Next Central Bank to Liftoff?
The Bank of Canada (BOC) meets on Wednesday this week and is expected to lift rates by 25bps (at the least) to 0.50%. The Bank of Canada (BOC) meets on Wednesday this week and is expected to lift rates by...
Eurozone CPI to Rise Again, Likely Add to ECB’s Dilemma Amid Ukraine Crisis
Inflation in the euro area again is heating up and data out on Wednesday (10:00 GMT) will probably underscore this trend. The harmonised index of consumer prices (HICP) is expected to have hit another record high in February, likely dashing...