December 17, 2024

Canadian Headline Inflation Was 1.9% y/y With Monthly Inflation Unchanged

Good News On The Inflation Front  The Consumer Price Index (CPI) rose 1.9% year-over-year (y/y) in November, down from a 2.0% increase in October. Slower price growth was broad-based, with prices for travel tours and the mortgage interest cost index contributing the most to the deceleration. Excluding gasoline, the all-items CPI rose 2.0% in November, following a 2.2% gain in…

Read More

December 16, 2024

Fall Economic Statement Delivered Despite Chrystia Freeland’s Resignation

Chrystia Freeland Resigns On The Day of The Fall Economic Statement Finance Minister Freeland rocked markets today by submitting her resignation from Cabinet. Trudeau had asked her to take another Cabinet post, but she declined in a scathing letter accusing Trudeau of “costly political gimmicks” like “bribe-us-with-our-own-money cheques for $250 and a two-month GST holiday. “Inevitably,…

Read More

December 16, 2024

Canadian home sales rose again in November as new listings declined and prices rose

The Canadian Housing Market Strengthens Further Home sales activity recorded over Canadian MLS® Systems rose again in November, building on October’s surprise jump. Sales were up 2.8% m/m in November compared to October and now stand a cumulative 18.4% above where they were in May, just before the first interest rate cut in early June….

Read More

December 11, 2024

The Bank of Canada Cuts Its Policy Rate By Another 50 Basis Points

Bank of Canada Cuts Policy Rate By 50 BPs Again The BoC slashed the overnight rate by 50 bps this morning, bringing the policy rate down to 3.25%. The market had priced in nearly 90% odds of a 50 bp move, where consensus coalesced. The combined slower-than-expected GDP growth and a sharp rise in the Canadian unemployment…

Read More

December 6, 2024

November Jobless Rate Surges to 6.8% in Canada Despite Strong Jobs Growth

The Surge In Canadian Unemployment Keeps Another Jumbo Rate Cut In Play In December Before the release of today’s Canadian Labour Force Data, the odds favoured a 25 basis point drop in the overnight policy rate when the Bank of Canada meets again on December 11th. The data showed more substantial than expected job creation,…

Read More

November 19, 2024

Canadian Inflation increased to 2.0% y/y in October–up from 1.6% in September owing to a smaller decline in gasoline prices.

October Inflation Rose to 2.0% As Gasoline Price Declines Were More Muted The Consumer Price Index (CPI) rose 2.0% year-over-year in October, up from a 1.6% increase in September. Gasoline prices fell to a lesser extent in October (-4.0%) compared with September (-10.7%). The all-items CPI, excluding gasoline, rose 2.2% in October, the same growth rate as…

Read More

November 15, 2024

Canadian Home Sales Surge in October Led by the GVA and GTA

The Canadian Housing Market Shows Signs of Life Canadian home sales surged to their highest level in more than two years as the Bank of Canada cut interest rates, bringing buyers back into the market. Home sales rose 7.7% month-over-month (m/m) in October, reaching their highest level since April 2022. Rising home sales were broadly…

Read More

November 8, 2024

Canadian Weak Job Gains in October Keeps Jumbo Rate Cut In Play

Weaker-Than-Expected October Jobs Report Keeps Jumbo Rate Cut In-Play in December Statistics Canada released October employment data today. The data showed a marked slowdown in job growth, underscoring ongoing labour-market softness that triggered a jumbo rate cut last month. Statistics Canada said the country added 14,500 positions in October, which missed the median expectation of a 27,200 rise in…

Read More

October 23, 2024

Bank of Canada preview: Is a big cut on the way?

The Bank of Canada is set to make its penultimate interest rate decision of the year this morning – and an oversized cut of 50 basis points is likely, according to Dominion Lending Centres chief economist Sherry Cooper. Click here to read the full article!

Read More

October 23, 2024

Jumbo Rate Cut by the Bank of Canada

Bank of Canada Cuts Policy Rate By 50 BPS After three consecutive 25 bp rate cuts, the BoC slashed the overnight rate by 50 bps this morning, bringing the policy rate down to 3.75%. The market had priced in 90% odds of a 50 bp move, where consensus coalesced. The combined slower-than-expected GDP growth and back-to-back weak inflation…

Read More
  • Sign up to Newsletter

    Newsletter

    Sign up to regular newsletters from Dr Sherry Cooper