This post was originally published on this site.The U.S. CPI report came in right in line with expectations for both the headline and core readings, giving the market some confidence that the broader inflation trend continues to move in the right direction. Shelter costs accounted for roughly two-thirds of the monthly increase, suggesting inflation would look considerably better if housing-related pressures begin to ease. The market reaction has been modestly dovish. Expectations for a September Fed rate hike have slipped from around 46% to 42.1%, while Treasury yields have moved lower. The 2-year yield is down 4.2 basis points to...

This post was originally published on this site. Prior month -1.7% revised to -3.0% Building permits for June +18.5% vs +0.8% estimate.  Needless to say much stronger than expected.  The growth in construction intentions in June was led by the non-residential sector (+$1.8 billion), while the residential sector (+$479.7 million) made a smaller contribution. Details: Non-residential building permits: Rose $1.8 billion to $6.8 billion in June, led by a sharp increase in institutional projects. Institutional permits: Increased $1.5 billion to $3.2 billion, driven primarily by Ontario (+$1.3 billion) and a major medical project in the Toronto area. Quebec added $238.7 million. Industrial permits:...