This Week’s Economic Highlights – June 28
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
- Economic growth was healthy in April, although the breadth of the expansion was somewhat lacking. Only 11 of 20 major industry groups reported increasing output.
- Business Outlook Survey results point to improved business sentiment in 19Q2.
- Oil prices were up slightly due to increased tensions in the Middle East and a larger-than-expected drawdown of U.S. inventories.
- A light week on economic data was filled with Fed speeches and a trickle of news flow on the upcoming meeting between Presidents Trump and Xi. We do not expect to see a major breakthrough this weekend, but rather an agreement to continue talking (forestalling at least for now the threat of additional tariffs).
- Chair Powell reiterated comments in his press conference last week that crosscurrents to the economic outlook had arisen relatively swiftly over the past month, leading the Fed to shift toward an increased willingness to cut rates.
- Economic data was mixed, with home sales and confidence falling, but consumer spending rising. With revisions, second quarter personal consumption is likely to top 3% annualized, enough to push economic growth to the 2% mark.