Bank of Canada raised overnights rate by a higher-than-expected full percentage point from 1.5% to 2.5%, the market was anticipating 75 basis points. It was the fourth consecutive rate hike pushing borrowing costs to the highest level since the pandemic started. The BoC said interest rates will need to rise further and the Governing Council is prepared to act more forcefully if needed to meet its commitment to achieve the 2% inflation target. The risk of elevated inflation becoming entrenched has … Continue reading “Bank of Canada Raises Rates 100 Basis Point in Largest Increase Since 1998”
U.S. Trade Deficit Pulls Back from Record as Exports Rise Led by Natural Gas, Petroleum Products and Soybeans
The US trade deficit in April was $87.20 Billion down from prior month’s record $-107.7 billion. The China and US trade deficit fell to -$30.57 billion vs. $-34.00 billion last month. Exports were up 3.5% to a record high of $252.6 billion, led by natural gas. Imports collapsed to -3.4% from March rise +9.6%. These monthly swings are also influenced by the supply crisis affecting orders and deliveries. Highlights International trade balance $-87.2 billion vs. $-89.5 billion estimate. The prior … Continue reading “U.S. Trade Deficit Pulls Back from Record as Exports Rise Led by Natural Gas, Petroleum Products and Soybeans”
Bank of Canada Raises Rates 0.50% With Risk of Elevated Inflation Becoming Entrenched Risen
Bank of Canada raised overnights rate by half a percentage point from 1.0% to 1.5% as expected. It was the third consecutive rate hike, matching the 50bps rise from the Bank’s previous meeting and pushing borrowing costs to the highest level since the pandemic started. The BoC said interest rates will need to rise further and the Governing Council is prepared to act more forcefully if needed to meet its commitment to achieve the 2% inflation target. The risk of elevated … Continue reading “Bank of Canada Raises Rates 0.50% With Risk of Elevated Inflation Becoming Entrenched Risen”
Bank of Canada Raises Rates 0.50% With Substantial Upward Revision on Inflation
Bank of Canada raised overnights rate by half a percentage point from 0.50% to 1.0%. The last time the BoC raised its benchmark rate by a half percentage point was over two decades ago, in May 2000. The bank also said it would begin reducing the assets on its balance sheet on April 25. The Bank of Canada revised sharply upward its outlook for inflation, while also increasing the growth forecast for 2022. The Bank of Canada raised the overnight … Continue reading “Bank of Canada Raises Rates 0.50% With Substantial Upward Revision on Inflation”
The World More Benevolent Since Covid, Nordic Countries Still the Happiest
Happiness is something that should never be underrated. Finland and Denmark ranked as the happiest and second-happiest lands, and the top eight were all in northern Europe. It is true one’s version of happiness is different to another, be it cultural or luck. With the drums of war beating loudly through Russia’s invasion of Ukraine and the Middle East with Iran, Syria and Yemen all vulnerable or in conflict. Afghanistan, Lebanon and Zimbabwe are the unhappiest, as war-torn and impoverished … Continue reading “The World More Benevolent Since Covid, Nordic Countries Still the Happiest”
U.S. Trade Deficit Soars 27% to Record $859 Billion in 2021 as Imports surge from Inflation and Tariffs.
The US trade deficit in December was $80.70 Billion up from prior month’s $79.30 billion. The China and US trade deficit rose to -$355.3 B for the year. The US trade gap for 2021 in both goods and services rose 27% to hit $859 billion, an annual record as imports grew faster than exports. Imports surged 20.5% with higher prices from inflation and tariffs. Highlights The US trade Deficit rose in both goods and services rose 27% to hit $859 … Continue reading “U.S. Trade Deficit Soars 27% to Record $859 Billion in 2021 as Imports surge from Inflation and Tariffs.”
Bank of Canada Leaves Rates Unchanged At 0.25% Removed Exceptional Forward Guidance
Bank of Canada left rates unchanged at 0.25% where markets were pricing in a 70% chance of a hike. BoC removed its exceptional forward guidance on its policy interest rate. The labor market has tightened significantly. Persistent supply constraints to keep inflation close to 5% in H1 2022 The Bank of Canada held the overnight rate at 1/4 per cent. The Bank Rate is correspondingly 1/2 per cent The deposit rate is 1/4 per cent. BoC Highlights BOC says overall … Continue reading “Bank of Canada Leaves Rates Unchanged At 0.25% Removed Exceptional Forward Guidance”
Bank of Canada Leaves Rates Unchanged At 0.25% As Unexpected
Bank of Canada left rates unchanged at 0.25% in line with forecasts and maintained its forward guidance, which sees a rise in the overnight rate sometime in the middle quarters of 2022. Last meeting the BoC surprised by ending the QE bond buying program from $2 billion per week to nil, it was expected to cut to $1billion a week. The Bank of Canada held the overnight rate at 1/4 per cent. The Bank Rate is correspondingly 1/2 per cent … Continue reading “Bank of Canada Leaves Rates Unchanged At 0.25% As Unexpected”
US Weekly IPO and SPAC Monitor : Just One IPO in Thanksgiving Week
During Thanksgiving week we have just one IPO due. Canadian gold exploration company Holdover Austin Gold (AUST). Be aware there is still a chance that a handful of SPACs will price during the week. Holdover Austin Gold (AUST) Plans to raise $15 million at a $64 million market cap. This Canadian gold exploration company currently has interests in four properties located in the state of Nevada, with just one property that it considers material at this time. Austin Gold has not generated … Continue reading “US Weekly IPO and SPAC Monitor : Just One IPO in Thanksgiving Week”
US Weekly IPO and SPAC Monitor : KinderCare & Braze
Heading into Thanksgiving another busy week ahead in the IPO market with 7 IPOs scheduled to bring in $1.9 billion. Childcare provider KinderCare Learning Companies $KLC and customer engagement platform Braze $BRZE Childcare provider KinderCare Learning Companies (KLC) Plans to raise $503 million at a $2.7 billion market cap. The company serves children from 6 weeks to 12 years of age through 1,480 early childhood education centers and 650 before- and after-school sites across 40 states and Washington DC. While KinderCare is a leader in … Continue reading “US Weekly IPO and SPAC Monitor : KinderCare & Braze”