Loonie soars on jobs galore
FX Trader, Loonieviews.net
Summary: Today's Canadian jobs print was a blockbuster, with 106,500 new positions added in April – the largest employment rise in the country's history.
The Canadian economy has created an average of 55,400 jobs since the start of the year. Today’s data add much-needed support to Bank of Canada forecasts predicting a rebound in the domestic economy in H2'19.
The US dollar has been on the defensive since the New York open and today’s mildly disappointing US inflation numbers didn’t help matters. Headline April CPI rose 0.3% rather than the 0.4% predicted while Core CPI rose just 0.1% (forecast 0.2% ) Today’s data ensured the Federal Reserve would have a comfortable seat on the sidelines.
The inflation data didn’t do much to bolster Wall Street’s confidence. The three major indices are lower in early trading and in the absence of news of a US/China trade deal today, will likely finish the week with losses.
Traders are focused on the US/China trade talks with many believing enough progress will be made to allow Trump to cancel the tariff hike. China seems to be in that camp as it hasn’t announced any retaliatory measures.
Quarterly Outlook Q2 2022
Quarterly Outlook Q2 2022: The End Game has arrived
- Shocks from covid and the war in Ukraine have forced the global financial and political world to change, but what will the end game be?
Productivity and innovation have never been more importantAs the world economy hits physical limits and central banks tighten their belts, could equities be facing a 10-15% downside?
The great EUR recovery and the difficulty of trading itIf the terrible fog of war hopefully lifts soon, the conditions are promising for the euro to reprice significantly higher.
Tight commodity markets – turbocharged by war and sanctionsWith supply already tight, commodities keep powering on. But will it last for yet another quarter?
Between a rock and a hard placeGeopolitical concerns will add upward price pressures and fears of slower growth, while volatility will remain elevated.
The Great ErosionInflation is everywhere and central banks try to combat it. But will they get it under control in time?
Australian investing: Six considerations amid triple Rs: rising rates, record inflation and likely recessionWhile global financial markets are struggling in an uncertain world, the commodity-heavy Australian ASX index is poised to keep a positive momentum.
Cybersecurity – the rush to catch up with realityWith the invasion of Ukraine, governments and private companies are rushing to reinforce their cyber defenses.
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