US: New home sales are expected to pull back sharply - TDS

Research Team at TDS, suggests that the US new home sales for August are expected to pull back sharply following last month’s unsustainable 12.4% m/m advance and the disappointment in existing home sales.

Key Quotes

“TD looks for new home sales to fall by 8.6% m/m to 598k, slightly below the consensus for 600k. The Dallas Fed Manufacturing Index is the only other release on the calendar; markets looks for a modest improvement from –6.2 to –3.0. 

CAD: The Bank of Canada continues their communication blitz with a lecture from Governor Poloz titled “Cross-Border Trade Integration and Monetary Policy”. Given the Bank’s recent caution on the export front and August’s soft CPI data, we see this as another opportunity for Poloz to refine his message to the weaker economic backdrop. Poloz’s comments will come at 19:00 ET.”