Drop It Like It’s Hot – Revised

Wow, when you receive incorrect data from your data feed, it causes you to put out an incorrect reading. It appears that Reuters data feed had the wrong employment numbers for Canada!!! US jobs remain the same, but Canada’s numbers were wrong. Reuters has now corrected the data, but I sent my post long before they corrected the data. I guess the problem with being too fast is that if the data you rely on is wrong – you look like a fool.

Lets try it again, shall we?

Canada added 26,700 jobs ( I previously reported 40,000 ), still beating expectations of 22,500, and wage growth ticked up 5.3%, not 3.9% as previously disclosed. This is even more worrisome for inflation expectations. However, the unemployment report rather than hitting an all time low, actually ticked up to a new high 28 month high of 6.2%. Part time jobs exceeded full time jobs, not exactly a vote of confidence in the economy going forward.

Still, we have good job growth, an accelerating wage inflation, which usually leads to general inflation. Bonds are still up on the news, and the CAD is still down on the USD – those numbers I don’t get from Reuters…lol

Apologies for the error before, but all corrections have been made, and my initial comments still stand – cutting rates into increasing wages is still an idea that may tend to lead to so trouble down the road.