News By Region
Friday, July 22, 2016 - 08:54 Canada May Retail Sales +0.2%,Above Expected,But Volumes Low 0
By Yali N'Diaye
OTTAWA (MNI) - Canadian retail sales rose 0.2% in May, with weaker auto sales weighing on the overall performance while gasoline stations benefited from higher prices, data from Statistics Canada showed Friday.
While the overall reading was above analysts expectations of a 0.2% decrease, it was a slowdown from April's 0.8% increase. The year-over-year growth pace decreased to 3.6% from 4.4%.
In addition, sales volume was up just 0.1%, after being flat in April, which could not be attributed to the Alberta wildfires, as the report suggested their impact was small.
Out of 770 businesses, 6.8% reported they were affected. However, Fort McMurray only represents 2.8% of retail activity in...
Friday, July 22, 2016 - 08:32 Canada June CPI 1.5% Y/Y; Core 2.1% Y/Y Unch From May 0
--Q2 Total CPI +1.6% Unch From Q1; Core +2.1% From Q1 +2.0%
OTTAWA (MNI) - Canadian inflation stayed relatively steady in June on an annual basis, rising 1.5% after the same gain in May, but was up 0.2% month-over-month, a slowdown from +0.4% in May, on an unadjusted basis, Statistics Canada reported Friday.
The core index, stripping out volatile items, increased 2.1% Y/Y, as it had in May, and was unchanged on the month.
Total CPI rose 1.6% in the second quarter, as it had in the first quarter. Core CPI edged up slightly, to 2.1% versus 2.0% in Q1. Both are in line with the Bank of Canada's own projections.
On a seasonally...
Friday, July 22, 2016 - 04:52 UK Composite, Services PMIs Crash To Lowest Since Early 2009 0
-Flash July Composite PMI 47.7; Services 47.4; Manufacturing 49.1
LONDON (MNI) - A special set of flash purchasing managers index, designed to capture the economic impact of the June 23 vote to leave the European Union, showed activity contracted sharply with the services and composite PMIs back at levels seen in early 2009.
The Flash Composite Output Index plunged to 47.7 from June's 52.4, the lowest reading for 87 months. The Services PMI dropped to 47.4 from 52.3, an 88 month low.
The manufacturing PMI fell to 49.1 from 52.1 in June, taking it too below the 50 breakeven level to a 40-month low.
PMI dispersion indices can be volatile, as many firms seeing...
Thursday, July 21, 2016 - 13:50 US GOP Platform's Support of Glass-Steagall Return Perplexes 0
--Republican Platform Backs Return of Depression-Era Banking Law
--Analysts Say GOP Policy Is Tactical Election Move
--Democratic Platform Also Set To Back Glass-Steagall
WASHINGTON (MNI) - For much of modern American political history, there has been a dispute about how seriously to take the party platforms approved by Democrats and Republicans during presidential election years.
Should they be viewed as serious statements of intention, casual afterthoughts, or symbolic gestures that are offered to the party faithful and to key interest groups?
There is no single answer to this...
Thursday, July 21, 2016 - 11:42 BOE Weale: QE, Not Forward Guidance Ups Inflation Expectations 0
-Paper By Weale, Wieladek Knocks Impact of Forward Guidance
LONDON (MNI) - A Bank of England working paper by Monetary Policy Committee member Martin Weale show central bank forward guidance has negligible impact on inflation expectations, but quantitative easing does push them higher.
The paper by Weale and, among others, his frequent co-author Tomasz Wieladek, found that firms' inflation expectations rose by 0.22 percentage points in response to $50 billion of QE but forward guidance had an insignificant effect on inflation and wage expectations.
Weale was the only MPC member to oppose forward guidance when it was introduced by BOE Governor Mark Carney.
Thursday, July 21, 2016 - 10:58 BOE Talk: Recent Comments by MPC Policymakers 0
By Raina Hasan
LONDON (MNI) - The following are comments by Bank of England Monetary Policy Committee members in recent weeks:
Kristin Forbes - External Member, July 20, op-ed in the Daily Telegraph, London:
"Why not wait to get hard data, better understand the impact on different segments of the economy, and then carefully calibrate any monetary response to maximize the effectiveness and minimize the negative side effects?"
"There is also the traditional concern from looser monetary policy, inflation. Today's low inflation mainly reflects the temporary effects of past falls in energy and food prices.