Canada — Debt, Mortgages & Markets
| Index | Weekly Change | Quick Note |
|---|---|---|
| S&P/TSX Composite | ▲ +0.6% | New closing high |
| S&P/TSX 60 | ▲ +0.3% | Large caps edged higher |
Key News – Debt & Mortgages
- 10-Year Bond Yields: Fell to 3.35% → fixed mortgage rates may edge lower.
- Mortgage Payments: Average monthly payment ~C$2,880 (~49% of income). Expected rate cuts could ease the burden.
Labour Market
- Unemployment: Rose to 7.1%, the highest since 2016.
- Jobs: –66K in August, mainly in professional services, transportation, and manufacturing; construction showed a slight rebound.
Economy & Policy
- GDP: Declined 1.6% in Q2 YoY, mainly due to U.S. tariffs weighing on manufacturing.
- BoC Outlook: Markets price in a 90% chance of a 25bp cut on Sep 17, with two more cuts expected by year-end.
United States — Weekly Wrap
| Index / Yield | Move | Note |
|---|---|---|
| S&P 500 | ▲ +0.33% | Small gain, cautious optimism |
| Nasdaq | ▲ +1.14% | Tech rebound, selective buying |
| Dow Jones | ▼ –0.32% | Value stocks softer |
| 10-Yr Treasury | ▼ 4.07% | Yield down, easing expectations |
Macro — Quick Take
- Cooling labor market: ADP +54K; nonfarm +22K → hiring slowing.
- Activity still positive: Services PMI 54.5 (>50 = expansion).
- Takeaway: Softer jobs + lower yields = higher odds of later Fed cuts → cheaper financing, supportive for growth/housing.
Stocks in Focus — Quick Headlines
| Ticker | Move | Headline |
|---|---|---|
| AVGO | ▲ +8.5% | Strong results + $10B custom AI-chip order from OpenAI |
| GOOGL | ▲ +10.7% | “Soft” antitrust ruling + AI tailwinds |
| AAPL | ▲ +2.0% | Optimism on U.S. manufacturing/investment + tariff perks |
Why It Matters
- Canada: Softer GoC yields and a stronger CAD help affordability and raise BoC-cut odds as 2025–26 renewals approach—good for sentiment, but households should still compare fixed vs. variable and budget ahead.
- United States: Cooling jobs and lower yields boost chances of Fed cuts—supporting growth and tech—while a friendlier antitrust climate and big AI orders keep money flowing to chips and cloud.
