Employment figures released south of the border on Friday showed that the U.S. economy continues to grow, with 2014 the best year for job creation since 1999. Yields on U.S. 10-Year bonds jumped more than 7% on the news, meaning that bond markets are discounting a greater likelihood of a more normalized U.S. monetary policy. The greenback also continues to rise.
Closer to home, Canadian jobs figures told a much different tale. Although they appear positive at first glance, the sizeable increase in part-time positions was offset by a plunge in full-time jobs. The impact of the collapse in crude oil prices is no doubt beginning to be felt. It will therefore be interesting to see what happens with Canadian Housing Starts, slated to be released today at 8:15 a.m.
Lastly, in Europe, tension is mounting between Germany and Greece, which could lead to greater volatility.