Notes from the Desk – Bank of Canada: This is the End. To quote the Doors, ‘this is the end, beautiful friend…the end.’ At least for now. After delivering a 25 bps hike and bringing the overnight rate to 4.5%, the Bank of Canada (BoC) expects to hold here as it assesses the impact higher rates […]

Notes from the Desk:  US Inflation – A Sigh of Relief US CPI was bang on the consensus forecast: YoY Headline Inflation: 6.5% (previous 7.1%) YoY Core Inflation: 5.7% (previous 6%)   Goods prices continue to fall while upward pressure is prevalent in the service sector. Implications. While the Fed will be happy to see […]

Notes from the Desk – CAD CPI – Still High But Heading in the Right Direction. By the numbers. November CPI came in at 6.8%, lower than last month’s 6.9% print, but higher than the 6.7% forecast. Lower gasoline and furniture costs were offset by higher shelter and food costs. The BoC’s CPI-median at 5% […]

Notes from the Desk – Federal Reserve – Reading the Tea Leaves   What they did.   As expected, the Federal Reserve (Fed) raised rates 50bps, bringing the band for the Funds rate to 4.25%-4.5% What they said.   Surprisingly, the Fed did not put much weight on the recent improvement in CPI as they […]

Notes from the Desk | US CPI – Heading in the Right Direction US CPI decelerated by more than forecast as the recent drop in energy prices offset higher food costs. YoY CPI – 7.1% vs 7.3% expected YoY core CPI – 6% vs 6.1% expected   Implications: With inflation still far above 2% and […]