Forex Today: Canadian Inflation Undershoots
Markets by TradingView
Following accelerating British inflation data at a new 41 year high, Canadian CPI comes in slightly lower than expected.
- Canadian CPI (inflation) data came in yesterday at a month on month increase of 0.7%, when 0.8% had been expected. This will be a little encouraging for north America after US inflation lessened earlier this month. Earlier, British inflation accelerated to a new 41-year high level, meeting the most pessimistic forecasts. The news very slightly strengthened the USD/CAD currency pair, but by nothing unusual.
- Comments by FOMC members suggest that the Fed is still on track to raise rates to 5% in 2023, as had been expected before the positive US inflation data.
- In the Forex market, the Euro is showing the greatest medium-term strength. Weakness is harder to determine, as markets are not moving by much right now.
- US retail sales data came in stronger than expected, showing a monthly increase of 1.3% when only 1.0% was expected.
- It has now been confirmed that the Republicans have won control of the US House of Representatives by a narrow majority. This is typically positive for stock markets when it happens in midterm elections.
- Australian unemployment data came in better than expected, with the unemployment rate falling from 3.5% to 3.4%.
- Daily new global coronavirus cases dropped last week, continuing a downwards trend which began last July.
- It is estimated that 68.2% of the world’s population has received at least one dose of a coronavirus vaccination.
- Total confirmed new coronavirus cases worldwide stand at over 641.5 million with an average case fatality rate of 1.03%.
- The rate of new coronavirus infections appears to now be significantly increasing only in Tuvalu and China.