There's very little direction. Everyone's tuning into (the payrolls figures) especially since the Fed has been talking about watching incoming data for guidance on how they're going to move in March.

I suppose the Ivey may be having some small effects, but we don't think it should be. Fundamentally we don't think there's been any real shift in the Canadian economy.

A rise in longer-term bond yields would arguably be seen as doing some of the Fed's tightening work.

We'll be watching the commodity prices again for the next little while in terms of direction for the Canadian dollar. We've gone through now C$1.14 and we're in a new range again.

The strength in this component, which includes apparel and home entertainment goods, bodes well for Christmas retail sales.

In terms of how it affected financial markets, it did have an immediate impact, but I don't think it's long-lasting at this point until we know a little bit further what the situation is surrounding it.

The business conditions survey is going to take center stage for Canada, maybe in particular because the Canadian dollar seems to be playing an important role in the Bank of Canada's thinking now.

Even with the Canadian dollar appreciating some 6 U.S. cents through the year, both exports and imports in 2005 surged to record high levels.

The main factor behind the Canadian dollar appreciation is likely the expectation of tomorrow's Bank of Canada statement accompanying the widely expected hike.