Canada’s economic indicators

The Canadian dollar has a slightly minor impression. It is certainly a minor compared to the US dollar, euro, pound, yen and Australian dollar. Because it is geographically close to the United States, it tends to be influenced by the US dollar. It is a beginner-friendly currency because it does not show extreme movements like the pound, but it does not move so much, so it is suitable for long-term trading. Here is a list of Canadian economic indicators. You only have to be careful about the ones that are of high importance, but let’s take a closer look at the US indicators as well.

Unemployment rate (importance: high)

Statistics Canada announces the unemployment rate on the first Friday of the month. The higher the unemployment rate, the easier it is to sell the Canadian dollar, and the lower the unemployment rate, the more likely it is to be bought. We will move the market with a very large index.

Number of new employees (importance: high)

Statistics Canada announces the unemployment rate on the first Friday of the month. Since it is announced at the same timing as the unemployment rate, the market will move significantly if unexpected results are obtained.

Trade balance (importance: low)

The trade balance is an index that measures the difference between the export value and the import value of goods (the amount obtained by subtracting the import value from the export value). Higher than expected numbers are a buy for the Canadian dollar, and vice versa.

Ivey Purchasing Department Association Index (Importance: Low)

Announcing Richard Ivey Business School. The Purchasing Department Association Index is an index that quantifies the results of conducting economic trend questionnaires on purchasing, employment, inventory, supply, prices, etc. in Canada’s public and private sectors. This number allows you to read the domestic economic situation.

Gross Domestic Product (GDP) (Importance: High)

Gross Domestic Product, GDP for short. The total amount of goods and services produced domestically, which refers to the scale of the economy. It is one of the most influential indicators that needs to be watched.

Mining and industry product prices (importance: low)

Indicators announced by the station. It is an indicator of price movements of major products sold by the Canadian manufacturing sector. Mining and industrial product prices are an important indicator of commodity price inflation.

Raw Material Price Index (Importance: Low)

Raw material price index released by Statistics Canada. It is a measurement of the purchase price of the main raw materials of Canadian manufacturers. It is a leading index that measures inflation and fluctuations in raw material prices.

Number of housing starts (importance: low)

The number of housing construction permits announced by the Government Housing Loan Corporation. The increase in the number of housing construction permits can be seen by many who anticipate economic expansion and rising housing prices.

Retail sales (importance: medium)

A monthly measure of sales at retail stores of various sizes in Canada. It correlates with consumer confidence and is an important indicator for confirming consumption trends in Canada. High results are a buy for the Canadian dollar.

Bank of Canada Policy Rate (Importance: High)

This is the place to announce the interest rate policy of the Bank of Canada. Please note that this index has the greatest effect on the market and will swing up and down. Significant interest rate changes will affect other currencies as well.

Manufacturing shipment (importance: low)

Manufacturing shipments released by Statistics Canada show trends in the ratio of inventories to shipments in Canadian manufacturing.

Number of housing starts (importance: low)

The number of housing starts announced by the Government Housing Loan Corporation. If this number increases, the Canadian economy will be considered to be good and the Canadian dollar will be easier to buy.

Investment in Canadian securities (importance: low)

This is the amount for the domestic securities announced by the Statistics Bureau the month after next. You can read the government policy depending on whether the funds in Canada are flowing domestically or abroad.

Consumer Price Index (Importance: Medium)

Consumer Price Index. Also known as CPI for short. It is a statistical index for grasping the movement of prices such as goods and services that consumers purchase. It can also be said to be one of the indicators of the standard of living of the people.