• 2019-02-06 09:52

    By Courtney Tower

    OTTAWA (MNI) - Following are the key points from a speech by Bank of Canada Deputy Governor Timothy Lane on Wednesday, to the Peterson Institute for International Economics in Washington, DC, speaking about how Canada manages its relatively small but adequate foreign exchange reserves.

    - Lane noted that, in contrast to many developed and emerging economies, Canada's foreign exchange reserves "stand out for their relatively modest size and their stability." He said they are "about US$85 billion," about 5% of GDP, in contrast to a 10-year average of about 13% of GDP for other advanced economies and 20% for emerging market economies.

  • 2019-02-06 09:42

    By Yali N'Diaye

    OTTAWA (MNI) - The value of building permits issued by Canadian municipalities increased by 6.0% in December to a record high C$8.8 billion, pointing to more housing supply ahead, data from Statistics Canada showed Wednesday.

    The monthly gain was the fourth consecutive one and the largest since May 2017, lifting the 12-month growth rate to 10.6%, the highest in a year.

    For 2018 as a whole, construction intentions were up 4.7%, following a 10.9% increase the previous year, on a unadjusted basis, and marking a fifth consecutive annual increase. Residential permits rose 5.2% as a 22.7% gain in multi-family dwellings more than offset a 10.7% drop in single-family, the first decrease since 2013.

  • 2019-01-31 13:58

    By Yali N'Diaye

    OTTAWA(MNI) - A 0.1% contraction in Canadian GDP in November will add to downward pressure on the Bank of Canada's growth outlook, as it admitted that 2019 has gotten off to "a challenging start."

    The BOC's fourth quarter forecast of a slowdown in GDP growth to an annualized 1.3% looks difficult to achieve after Thursday's data from Statistics Canada. The central bank expects a further deceleration to 0.8% growth in the first quarter of 2019.

  • 2019-01-31 13:33

    By Courtney Tower

    OTTAWA (MNI) - Following are the key points from a speech by Bank of Canada Senior Deputy Governor Carolyn Wilkins on Thursday, saying that despite a strong economy, Canadian wage growth, which should further strengthen output, remains below what would normally be expected.

  • 2019-01-31 09:49

    OTTAWA (MNI) - The following are the key points from the November data on Canadian GDP released Thursday by Statistics Canada:

    - November GDP contracted by 0.1% in November, in line with analysts' expectations in a MNI survey. The 12-month growth rate slowed to 1.7% from 2.2%. The figures add downside risk to the Bank of Canada's growth estimates for the fourth quarter, especially if December also proves weak.

    - Output in goods-producing industries fell 0.3%, giving up all the gains of the previous month. Manufacturing was down 0.5%, partly erasing the 0.8% advance recorded in October, consistent with the monthly data that showed a 0.9% decrease in real manufacturing shipments. Durable manufacturing was down 0.7%, and non-durable down 0.3%.

  • 2019-01-29 16:12

    By Yali N'Diaye

    OTTAWA (MNI) - Statistics Canada will release the November GDP by industry Thursday. Ahead of the release, we highlight five themes for particular attention:

    - Analysts in a MNI survey expect headline GDP to contract by 0.1%, with forecasts ranging from -0.2% to +0.1%, despite a 2.1% year-over-year gain in hours worked over the month. A GDP contraction in November, even after the stronger-than-expected 0.3% expansion recorded in October, would put the fourth quarter GDP on a lower track than the 1.3% annualized growth projected by the Bank of Canada. December would have to prove particularly strong to yield a growth pace of 1.3%.

    - Within goods-producing industries, data so far points to weakness in manufacturing in particular.

  • 2019-01-23 09:40

    By Yali N'Diaye

    OTTAWA (MNI) - The following are the key points from the November data on Canadian retail sales released Wednesday by Statistics Canada:

    - Retail sales fell 0.9% in November, more than erasing the 0.2% advance in October, and a larger drop than the 0.6% decline expected by analysts in a MNI survey. The performance was especially disappointing given the downward revision to October's estimate from the 0.3% gain initially reported.

    - Excluding a 1.8% decline in autos and parts sales, retail sales still contracted 0.6% on the month, the largest decrease since December 2017, while analysts had expected a 0.4% drop.

  • 2019-01-22 10:11

    By Yali N'Diaye

    OTTAWA (MNI) - Canadian manufacturing and wholesale sales disappointed in November, and the oil sector did not explain all the weakness, data released Tuesday by Statistics Canada showed.

    Manufacturing sales contracted by 1.4% to C$57.3 billion in November, bringing down the 12-month growth rate to 2.7% from 7.8% in October. Analysts in a MNI survey had expected sales to fall 1.0%.

    Wholesale sales were also down in November, when they posted a 1.0% decline from October, the largest monthly drop since March 2016. Analysts had expected a 0.5% decline.

  • 2019-01-18 13:13

    By Yali N'Diaye

    OTTAWA (MNI) - Canadian inflation data Friday surprised on the upside, but the unexpected acceleration won't interrupt the Bank of Canada's current wait-and-see stance on interest rates.

    Headline inflation was -0.1% in December, Statistics Canada reported Friday, compared to an estimate of a 0.4% monthly decline in an MNI survey.

  • 2019-01-18 09:48

    By Courtney Tower

    OTTAWA (MNI) - The following are the key points from the December data on the Canadian Consumer Price Index released Friday by Statistics Canada:

    - Headline unadjusted CPI fell 0.1% in December from November, a stronger monthly result than the 0.4% decline expected by analysts in a MNI survey. The 12-month inflation rate rose to 2.0% from 1.7%, topping analysts' forecasts of a 1.7% gain. For the fourth quarter of 2018, CPI was 2.0% year-over-year on average, matching the Bank of Canada's projection.

    - On a monthly basis, goods prices dropped 0.7% (+0.2% on the year) with durable goods declining 0.3%, semi-durable goods down 2.8% and non-durable goods down 0.3%. Gasoline prices dropped 6.5%.