Macroeconomy

  • 2019-06-14 07:14


    BEIJING (MNI) - China's macroeconomic indicators continue to show weakness in the May data prints, with both industrial output and fixed-asset investment (FAI) slipping below expectations, although retail sales picked up on strong May holiday demand.

    As downside risks grow, ANZ expects the People's Bank of China (PBOC) to send more supportive signals in the not too distant future. Besides a further 100 bps cut in the reserve requirement ratio over the rest of the year, ANZ also expects the central bank to lower the 7-day reverse repo rate by 5 bps in Q3 following a U.S.

  • 2019-06-13 08:42


    By Greg Quinn

    OTTAWA (MNI) - Canadian household debt held close to a record high when compared with disposable income in the first quarter, government figures showed.

    Credit-market debt such as mortgages was 177.6% of after-tax income, unchanged from the fourth quarter of last year. The ratio was a record 178.3% in the third quarter of 2018, according to Statistics Canada figures published Thursday.

    The Bank of Canada has warned that a record buildup of consumer debts through a housing boom in Toronto and Vancouver remains a vulnerability even after governments introduced rules to curb riskier borrowing.

  • 2019-06-13 08:30


    By Greg Quinn

    OTTAWA (MNI) - Canadian new home prices were unchanged for a third month in April, as declines in Toronto were matched with gains in other parts of the province of Ontario.

    Toronto prices fell 0.1% on the month in Statistics Canada's new home price index published Thursday. In Vancouver, the other city that has drawn concern about a potential housing correction, prices declined 0.2%.

    Prices were flat or declined in 19 of 27 cities in the report. Gains in Ontario cities such as Ottawa and London helped keep the overall index steady.

    The index rose 0.1% in April from a year ago.

  • 2019-06-12 07:00


    WASHINGTON (MNI) - The Mortgage Bankers Association Wednesday reported a sharp increase in mortgage activity in the June 7 week, with activity up 26.8% on a further large decline in mortgage rates.

    Here are some of the key features of the report:

    - The Refinance Index rose by 47%, while the Purchase Index rose by 10% in the current week. MBA said it made adjustment to the previous week to account for the Memorial Day holiday.

    - The 30-year average rate for a 30-year fixed mortgage fell further to 4.12% in the current week from 4.23% in the previous week, hitting its lowest point since September 2017.

    - MBA said that the further decline in mortgage rates was due to trade war concerns, bearish comments from FOMC members, and the softer employment data in May.

  • 2019-06-11 04:49


    By Les Commons and Laurie Laird

    LONDON (MNI) - The robust UK jobs market confounded forecasts of a slowdown in the three months to April, with employment and regular earnings both recording healthy gains.

    The following are the key points from the February to April employment reported released on Tuesday by the Office for National Statistics.

    - Employment increased by 32,000, well ahead of single-digit gains expected by analysts. The employment rate remained at a record high 76.1%.

    - The LFS unemployment rate remained at 3.8%, matching its lowest level since the last quarter of 1974.

    - Regular earnings growth exceeded expectations, rising by 3.4% after a 3.3% gain in the first quarter.

  • 2019-06-10 08:30


    By Greg Quinn

    OTTAWA (MNI) - Canadian building permits surged to a record high in April as Vancouver developers accelerated work ahead of a fee increase.

    The value of permits jumped by C$1.2 billion to C$9.3 billion in April, the biggest increase by dollar value since May 2007. The percentage increase of 14.7% was the biggest since October 2016.

    Residential building permits climbed by 24.5% in April, led by a 138% gain in British Columbia. Vancouver led the increase in British Columbia with a gain of C$880 million for multi-family projects in the city.

  • 2019-06-10 04:52


    By Les Commons and Laurie Laird

    LONDON (MNI) - GDP growth fell at its fastest monthly pace since March 2016, dampened by Brexit-related shutdowns of car factories.

    The following are the key points from UK GDP data published Monday by the Office for National Statistics.

    - GDP slumped by 0.4% in April, the biggest fall since March of 2016, a much greater decline than forecast by analysts. However, economic strength in the month of February lifted 3m/3m growth to 0.3% in April, despite a slight decline in GDP in March.

    - Manufacturing weakness accounted for nearly all of the slump in monthly GDP, dragged lower by a 29% plunge in motor vehicle production.

  • 2019-06-10 01:47


    --Japan May Econ Watchers Current Index 44.1; Apr 45.3
    --Japan May Watchers Outlook Index 45.6; Apr 48.4
    --Japan May Watchers Outlook Index Posts 4th Straight Drop
    --Japan Govt leaves View: Weakness seen in recovery

    TOKYO (MNI) - Japan's current sentiment index fell in May, reversing April's gain, weighed by items linked to housing, and eating and drinking services, a key government survey released Monday showed.

    The survey indicates whether respondents with jobs most sensitive to economic conditions -- taxi and truck drivers, department-store sales staff and restaurant and shop owners -- think economic conditions have improved or worsened from the three months prior.

    These are the key points from the latest monthly Economy Watchers Survey, conducted by the Cabinet Off

  • 2019-06-09 20:23


    --Japan Q1 GDP Rev +0.6% Q/Q; Prelim +0.5%; MNI Median +0.6%
    --Japan Q1 Annualized GDP Rev +2.2% Vs +2.1%; MNI Median +2.2%
    --Japan Q1 Capex Rev +0.3% Q/Q; Prelim -0.3%; Median +0.5%
    --Japan Q1 Capex Contribution Revised At +0.1 Point Vs.

  • 2019-06-07 10:00


    --March Wholesale Sales Fall 0.4%; Inv/Sales Ratio Rises To 1.34
    --Business Inventories Tracking +0.5%, Sales -0.4%

    WASHINGTON (MNI) - April wholesale inventories rose by 0.8%, just above the 0.7% gain expected by the both the Bloomberg and MNI surveys, while wholesale sales were down 0.4% in the month, data released by the U.S. Commerce Department Friday showed.

    Wholesale inventories had initially been reported as up 0.7% in the advance indictors report published last week and incorporated into the previous estimate of first quarter GDP.

    Factory inventories were already reported up 0.3% and the advance estimate of retail inventories was a 0.5% gain.