Eric Lascelles
Eric Lascelles
canadian confront continues elevated fact including input muscular prices report sector spectrum testament wide
(The report is) a testament to the fact that the Canadian manufacturing sector continues to confront a wide spectrum of challenges, including elevated input prices and a muscular Canadian dollar.
aware bank cumulative fully hikes impact six
This ... suggests that the bank is well aware that the six consecutive hikes ... have a cumulative impact that has not yet been fully felt.
both companies forward rough time tough troubles workers
Clearly, many of these automakers are encountering pretty substantial troubles and I think it is going to be a tough time for both the workers and the companies going forward - we'll just have to see how rough it is.
grim largely line report
This report was largely in line with expectations. It was a grim report.
came confidence flip michigan price producer university weak
We did have a weak University of Michigan confidence index ... but on the flip side, you had the producer price index, which came in a little strong.
auto few hesitant last mind quite sales shipments tend wildly
Keep in mind that auto shipments and sales tend to be quite volatile. They've been really going up and down pretty wildly over the last few months, and so I'd be hesitant to read too much into any one reading.
bank beyond canada canadian closely continued employment huge increase interest labor number rates shows sit strength supports whether
There is huge strength in employment ? It shows continued strength in the labor market, which supports the Canadian dollar. The Bank of Canada may look closely at this number and sit up and think about whether they should increase interest rates further. There is probability they may go beyond 4 percent.
bank closely favorite quite sit
We've been told before that this is the Bank of Canada's favorite measure. So, the Bank of Canada, without question, is going to sit up quite closely and look at this release.
market report responding spots weak
There are some weak spots in the report and that's what the market is responding to.
dollar obvious seem
It does look like a U.S. dollar story. There doesn't seem to be any obvious fundamental story.
bank canada excuse further halt next percent provide reports twin
Today's twin reports provide a further excuse for the Bank of Canada to halt at 4.0 percent after next week's hike.
begin canadian cold cooling further needed outlook poured report water
Today's report poured some further cold water on the outlook for the Canadian manufacturing sector, not that it needed any cooling off to begin with.
bank canada cause differ likely peak percent
I don't think this is going to cause the Bank of Canada to differ in its ways. We still think 4 percent (overnight rate) is the likely peak for them.
appears business conditions continued light likely sector sour survey trend
The manufacturing sector continued to struggle. And in light of the sour business conditions survey ... that trend appears likely to continue.