Market News: Week Ending August 14, 2026

Market News: Week Ending August 14, 2026

The U.S. Bureau of Labor Statistics reported that the consumer price index moved 0.1% higher (seasonally adjusted basis) in July after falling 0.4% in June (the largest 1-month decrease since April 2020 (-0.8%)). Over the last 12 months, the overall index has increased 3.4%, down from the 3.5% figure posted for June. The current data revealed that the energy sub-index was the primary driver, falling 1.5% on the month but still standing with a 14.7% advance on a 12-month basis. Further, core inflation (CPI ex food and energy) eased to 2.5% (y/y) for July, below the 2.6% figure seen in the June report. These figures are in line with market expectations as the energy price drop was anticipated. Market participants will remain focused on any developments in energy pricing and the broader inflation implications heading into the Fed’s next two-day policy meeting, scheduled for September 15 and 16. 

The U.S. Bureau of Labor Statistics reported that its Producer Price Index – Final Demand (PPI-FD) was unchanged (seasonally adjusted) in July, following a revised 0.1% decline in June (originally reported as -0.3%). The index rose 4.7% for the 12 months ended July 2026, down from the 5.5% now posted for June. As seen in the previous CPI report, softening in energy products (-3.1% m/m) was the primary driver of PPI-FD in July. Coupled with the revisions, these results are somewhat lower than market expectations. Market participants remain highly focused on price pressures in the U.S. economy and the likelihood that the energy volatility will continue to influence broader inflationary pressures. 

The U.S. Department of Labor announced that initial jobless claims totalled 209,000 (seasonally adjusted) in the week ending August 8, an increase of 9,000 from the previous week's revised level. The previous week's level was revised up by 1,000 from 199,000 to 200,000. The 4-week moving average was 199,000, unchanged from the previous week's revised average. The previous week's average was revised up by 250 from 198,750 to 199,000. These results are somewhat weaker than market estimates. 

Note:
All index performance is in Canadian dollars.

IMPORTANT DISCLAIMERS
The information in this letter is derived from various sources, including CI Global Asset Management, CRA, Bloomberg, National Post, Globe and Mail, Wall Street Journal, Bloomberg, Reuters, Investment Executive, Advisor.ca, MarketWatch, Toronto Sun, The Guardian, MSN.ca and Statistics Canada at various dates. This material is provided for general information and is subject to change without notice. Before acting on any of the above, please contact me for individual financial advice based on your personal circumstances. Certain statements contained in this communication are based in whole or in part on information provided by third parties and CI Global Asset Management has taken reasonable steps to ensure their accuracy. Market conditions may change which may impact the information contained in this document.