(This is an excerpt from an article I originally published on Seeking Alpha on September 6, 2015. Click here to read the entire piece.)
It is official…or at least technically official. Canada is in recession albeit by the slimmest of margins. {snip}
Source: Statistics Canada
Canada’s GDP is a story of two worlds. {snip}
Source: Statistics Canada
The strong, positive contribution of household final consumption is good for the current health of the economy. The plunge in gross fixed capital formation and inventories speaks volume about the pessimism over the future. {snip}
On Friday, September 4, Statistics Canada released news on unemployment. The jobs picture looked surprisingly good EXCEPT it seems the unemployment rate may have bottomed. The unemployment rate is on the vertical axis of the graph below.
Source: Statistics Canada
{snip}
At least employment in natural resources – which includes forestry, fishing, mining, quarrying, oil and gas extraction – stabilized somewhat. {snip}
Source: FreeStockCharts.com
The Canadian dollar was last this weak against the U.S. dollar in 2004. {snip}
Source: Oanda’s CFTC’s Commitments of Traders
Be careful out there!
Full disclosure: long FXC
(This is an excerpt from an article I originally published on Seeking Alpha on September 6, 2015. Click here to read the entire piece.)