Eric Lascelles
Eric Lascelles
came confidence flip michigan price producer university weak
We did have a weak University of Michigan confidence index ... but on the flip side, you had the producer price index, which came in a little strong.
anyway bank beyond canada hand inflation less market move moves surprise
Inflation isn't out of hand anyway in Canada. The market may think the Bank of Canada will move less aggressively. It will be a surprise if the bank moves beyond 4 percent.
auto few hesitant last mind quite sales shipments tend wildly
Keep in mind that auto shipments and sales tend to be quite volatile. They've been really going up and down pretty wildly over the last few months, and so I'd be hesitant to read too much into any one reading.
cautious expected hike intent looking rate vein
The intent of that, in my view, is to say they are very cautious about looking forward. A rate hike should not be expected in the same vein that one was expected for today.
arising bank canada certainly concerned continues pressures suggest
(The survey) certainly continues to suggest that the Bank of Canada need not be concerned about inflationary pressures arising from manufacturers.
dollar obvious seem
It does look like a U.S. dollar story. There doesn't seem to be any obvious fundamental story.
bank canada cause differ likely peak percent
I don't think this is going to cause the Bank of Canada to differ in its ways. We still think 4 percent (overnight rate) is the likely peak for them.
appears business conditions continued light likely sector sour survey trend
The manufacturing sector continued to struggle. And in light of the sour business conditions survey ... that trend appears likely to continue.
commodity
The commodity play is a big part of the story there.
certainly election impact minority
I don't think there has been much of an impact at all from the election because, certainly a minority was expected, a minority was the outcome.
grim largely line report
This report was largely in line with expectations. It was a grim report.
begin canadian cold cooling further needed outlook poured report water
Today's report poured some further cold water on the outlook for the Canadian manufacturing sector, not that it needed any cooling off to begin with.
bank canada certainly left tag
We certainly do think there are another two (rate hikes) left in the Bank of Canada before they tag out.
bank closely favorite quite sit
We've been told before that this is the Bank of Canada's favorite measure. So, the Bank of Canada, without question, is going to sit up quite closely and look at this release.