Monthly Archives: March 2010
Not So Fast!
Earlier this morning, the market was in a good mood as a Greek Plan to issue bonds in Dollars was widely accepted which may help them reach their goal to raise capital to fund debt. In addition, news out of Ireland that they will raise private capital to help their banks after “appalling lending” was also met with approval as it would keep the Irish banks out of government control and thus adding to Irish debt. Canadian GDP came in better than expected, beating the estimate by .1% signaling that Canada may be the next country to raise rates. On the negative side, Australian retail sales came in worse than expected, which could temper speculation that the RBA will hike rates again next week. Continue reading
Canada’s GDP Climbs 0.6%
Canada’s Gross Domestic Product (GDP) rose 0.6 percent in January to mark five straight, monthly increases. Most sectors realized an increase, with manufacturing and construction jumping 1.3 percent to lead the way Continue reading
ADP Report Shows US Payrolls Still on Decline
Private payroll services company ADP, released its monthly unemployment report which showed that companies in the US reduced payrolls by 23,000 in March. This figure differs wildly from a survey of economists who suggest that this Friday’s government employment report will show payrolls increased by 184,000 Continue reading
EUR head-fake to unnerve weak dollar longs
For awhile yesterday, it seemed that ‘riga-mortis’ had hit set in as Capital Markets sat patiently for the first wrong move in their opinion to occur. It’s not a finely balanced market. Continue reading
US Consumer Confidence On the Rise After Falling in February
After a dramatic decline of nearly 11 points in February’s Consumer Confidence reading, American’s confidence in the economy jumped just over 6 points in March to 52.2. The Consumer Confidence index is an important indicator as consumer spending accounts for nearly 70 percent of the economic activity in the US. This means that until consumer spending returns to pre-recession levels, economic growth will remain muted. Continue reading
US House Prices on the Rise
Home prices in the 20 US cities surveyed by the S&P/Case-Shiller index, unexpectedly rose in January. Overall, the index rose 0.3 percent over December adding further to the case that the economy is slowly improving Continue reading
Canadian Raw Materials Higher in February
Raw materials in Canada rose 0.4 percent in February despite projections of a 1.0 percent decline. The increase is due primarily to a jump in the price of crude oil Continue reading
IMF Says It Will “Define Conditionality”
The potential for a showdown between the International Monetary Fund and the European Union took a leap forward today as the IMF said that any rescue package for Greece involving the IMF, would “be an IMF program decided by the IMF”. Continue reading
The Real Green Shoots?
The markets are higher this morning on increased optimism that economic recovery is gaining traction in a continuation of yesterday’s gains. This morning, US Consumer Confidence is due out as well as the Case Shiller Home Price Index which is expected to show that home price declines have slowed. In the meantime across the pond, the UK reported higher GDP figures than expected and home prices increased much higher than expected. Yield seeking and risk-taking are the flavor of the morning as New Zealand also reported higher than expected building permits; a sign that their economy may be heating up. Continue reading