20 Feb

Great News On The Inflation Front Cause Big Bond Rally – February 20 2024

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Posted by: Matthew J. Charlton

FEBRUARY 20 2024 Canadian Inflation Falls to 2.9% in January, Boosting Rate Cut Prospects The Consumer Price Index (CPI) rose 2.9% year-over-year in January, down sharply from December’s 3.4% reading. The most significant contributor to the deceleration was a 4% decline in y/y gasoline prices, compared to a 1.4% rise the month before (see chart […]

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16 Jan

Canadian Inflation Rises to 3.4% Y/Y In December – January 16 2024

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Posted by: Matthew J. Charlton

JANUARY 16 2024 A Bumpy Road To The Inflation Target Canada’s headline inflation number for December ’23 moved up three bps to 3.4%, as expected, as gasoline prices didn’t fall as fast as a year ago. These so-called base effects were also evident in the earlier US inflation data for the same month. Additional acceleration […]

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15 Jan

Canadian Existing Home Sales Surged in December – January 15 2024

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Posted by: Matthew J. Charlton

JANUARY 15 2024 Canadian Home Sales Surprisingly Strong in December Statistics released today by the Canadian Real Estate Association (CREA) show national home sales were up noticeably month-over-month in December 2023. The December rise of 8.7% was one of last year’s strongest monthly performances. The actual (not seasonally adjusted) number of transactions was 3.7% above December […]

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19 Dec

Stronger-Than-Expected Canadian Inflation Will Keep The BoC On The Sidelines For Now – December 19 2023

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Posted by: Matthew J. Charlton

DECEMBER 19 2023 Inflation Held Steady In November Today’s inflation report was stronger than expected, unchanged from October’s 3.1% pace. While some had forecast a sub-3% reading, the November CPI data posted a welcome slowdown in food and shelter prices. Increases in recreation and clothing offset this–both are discretionary purchases. Cellular services and fuel oil prices […]

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14 Dec

Canadian Housing Markets Bottoming – December 14 2023

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Posted by: Matthew J. Charlton

DECEMBER 14 2023 Housing Markets Prepare For A 2024 Rebound Before we get into the details of the November housing market data released this morning by the Canadian Real Estate Association (CREA), big positive news for housing occurred yesterday. The US Federal Reserve gave its clearest signal yet that its historic policy tightening campaign is […]

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6 Dec

Bank of Canada Holds The Overnight Policy Rate Steady at 5% For the Third Consecutive Meeting – December 6 2023

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Posted by: Matthew J. Charlton

DECEMBER 6 2023 The Bank of Canada Held Rates Steady and Took A More Neutral Tone It was widely expected that the Bank of Canada would maintain its key policy rate at 5% for the third consecutive time. It will continue to sell government securities (quantitative tightening) to normalize its balance sheet. Market participants weighed […]

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