Daily digest market movers: Canadian Dollar finds the high side on higher housing prices

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  • The Canadian New Housing Price Index rose 0.1% YoY in July, over and above the previous -0.2% contraction.
  • The Canadian Raw Material Price Index also rose in July, accelerating 0.7% versus the forecast -0.9% and improving from the previous month’s -1.4% backslide.
  • The US Bureau of Labor Statistics introduced a sharp revision to March’s Nonfarm Payrolls (NFP), cutting the initial print by over 800K jobs.
  • The Fed’s latest Meeting Minutes revealed that the US central bank had already begun discussions about when to deliver rate cuts as early as July.
  • The out-of-cycle NFP adjustment and dovish Fed print help to drive market bets of a September rate cut even higher.
  • Nearly half of all rate traders now expect a double cut for 50 bps from the Fed on September 18.

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