Yuan's weakness is fuelling U.S. trade complaints
With U.S. growth revised upward due to government spending and tax cuts, markets have priced in three Fed rate hikes for 2018. That’s allowed the U.S. dollar to put up a fight against global currencies despite a deficit projected to surpass US$1 trillion in 2019. “Generous long-end spreads versus still-low overseas yields are providing enough […]
The consumer price index increased 0.2% last month, after a sharp 0.5% gain in January, the U.S. Labor Department said.
U.S. consumer prices, excluding the volatile food and energy categories, rose 0.3% last month. That was the biggest climb in a year and is likely to fan inflation fears in financial markets. The Labor Department says overall consumer prices rose 0.5% in January, the most in four months. Inflation rose 2.1% from a year earlier, […]
With rising bond yields, the pressure is on
Europe's top economic official speaks about currency moves
Already, other currencies are gaining on the greenback
And where the loonie fits in
It’s been a great year for the loonie. In fact, “over the past six months, the C$ has been the best performing major currency,” note CIBC economists Andrew Grantham and Royce Mendes in a weekly economics report. The loonie’s strength coincides with Canada’s hot GDP streak. However, Canada’s growth is slowing, while that of other […]
All signs point to downside ahead for the loonie. “The Canadian dollar is still mispriced,” says Benjamin Tal, deputy chief economist at CIBC World Markets, in a weekly economics report. “Too many factors are pointing in unison to one direction: a lower loonie.” Read: What’s next for economy and loonie First off, he notes the […]