It appears that emerging markets are destined to end the year as they started, down sharply due to energy market dealings and global growth. Stock indexes, bonds and currencies have all pointed in the same direction in the past few days. The rouble is a particularly telling case: despite a Russian key rate hike from 10.5% to 17% yesterday, the currency is down more than 15% this morning!
Once again, a number of indicators will be released south of the border today. At 8:30 a.m., U.S. real estate data will be made available, including Housing Starts (+1,039,000) and Building Permits (+1,065,000) for November. Next at 9:45, comes the Markit Manufacturing PMI, which is expected to be up to 55.3. On our side of the border, we will be keeping an eye on International Securities Transactions, which should dip slightly to $4.0 billion for October and may further drag down the loonie.
Have a great day!
Xavier Villemaire
- Range of the day: 1.1620 - 1.1720