This Week’s Economic Highlights – August 9

TD Canada Trust provides a weekly economic highlight report that we choose to share with our clients and those who follow us. This is an easy place to stay current on the broader economic conditions in Canada and the U.S. so that you are better informed to make stronger decisions around your own real estate investments. We are always available to answer any questions or walk through your real estate investment goals for now or in the future.

Full Details of the TD Canada Trust Economic Highlights Here

Canadian Highlights

  • Trade tensions and global growth concerns continued to weigh on financial markets, with the impacts most notably seen in falling long-term bond yields and oil prices this week.
  • Today’s employment report for July was lackluster with a net job loss of 24k and even softer details. One bright spot was a 4.5% surge in wage growth.
  • Housing data was constructive, with a 222k housing starts print and regional real estate board data showing healthy home sales prints in July across different metropolitan areas.

U.S. Highlights

  • China responded to the threat of additional U.S. tariffs by halting agricultural purchases and allowing its currency to weaken beyond the psychologically important 7 yuan to the dollar level.
  • Central banks around the world responded to the heightened risk posed by the spiraling trade war by proactively cutting policy interest rates.
  • The U.S. services sector showed signs of cooling in July as the ISM non-manufacturing index declined to 53.7 from 55.1 the previous month.