As the US Federal Reserve prepares to issue its monetary policy decision this afternoon, many economists believe the Fed will not cut rates. Despite this, it is widely expected that the central bank will signal a willingness to act in the future, as pressure continues to increase on the FOMC to distinguish and communicate a clear path towards monetary easing.
The Canadian Consumer Price Index rose 2.4% on a year-over-year basis in May, up from a 2.0% increase in April. The CPI has increased despite a series of comprehensive gains which have included higher prices for food and durable goods. This has also come during a period that saw consumers pay 3.7% less for gasoline compared to in May 2018.
US crude oil refinery inputs averaged 17.3 million barrels per day heading into mid-June, which was 200,000 barrels per day more than the previous week’s average. Refineries have been operating at 93.9% of their capacity last week as gasoline production increased, averaging 10.4 million barrels per day.
US Trade Representative Robert Lighthizer has recently issued a statement saying that he expects to meet the Chinese Vice Premier and the US Treasury Secretary Mnuchin ahead of the G20 Summit in Japan. He went on to comment on the highly politicized USMCA trade agreement, stating that he did not believe tariff threats on Mexico would make the passing of the deal more difficult.