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Jun 4, 2014

Canada slips into trade deficit in April as exports slide

OTTAWA, June 4 (Reuters) – Canada unexpectedly slipped back
into a trade deficit in April after two months of surplus, as
imports jumped to a record-high and exports fell, a worrying
sign for economic growth in the second quarter.

However, the details in the trade balance report, released
by Statistics Canada on Wednesday, suggested the weakness in
exports could be short-lived as a 10.7 percent drop in energy
exports was partly due to refinery shutdowns for maintenance.

May 30, 2014

Canada’s economy turns sluggish as rate decision looms

OTTAWA, May 30 (Reuters) – Canada’s economy geared down at
the start of the year, and not only because exports took a hit
from bad weather in the United States, as business investment
and imports also showed unexpected weakness.

Growth slowed to 1.2 percent, annualized, in the first
quarter from 2.7 percent in the final quarter of last year,
according to Statistics Canada data released on Friday. The
market forecast was for 1.8 percent economic growth.

May 16, 2014

Canada restaurants buck foreign worker program changes

OTTAWA, May 16 (Reuters) – Possible changes to make it
harder to bring temporary foreign workers into Canada may force
some restaurants to curb their hours or even shut down, and
could hamper important exports if not properly structured,
employers groups warned on Friday.

Employment Minister Jason Kenney and Immigration Minister
Chris Alexander on Thursday bandied about with employers and
unions several ideas for reforming the temporary foreign worker
program, which has recently come under enormous criticism.

May 9, 2014

Canada surprises with April job losses, underperforming U.S.

OTTAWA, May 9 (Reuters) – Canada’s economy lost 28,900 jobs
in April, Statistics Canada said on Friday in a report that
revealed across-the-board weakness, confirming the labor market
is stalled and adding jobs at a more sluggish pace than in the
United States.

The report suggests economic growth was not gathering speed
as expected in the second quarter and that business confidence
is still shaky. That reinforces the view that the Bank of Canada
is unlikely to raise its main interest rate until the second
half of 2015.

May 7, 2014

Exclusive – Ottawa to help telecom regulator defend new wireless code

OTTAWA/TORONTO (Reuters) – The Canadian government has decided to intervene in a court case to argue that new rules for the country’s wireless providers should be retroactive, possibly reducing the chance telecom companies have of winning an appeal against the measure.

It is the first sign that the Conservative federal government will fight in the courts to protect the new wireless code’s implementation, underscoring its determination to stoke competition in the sector.

Apr 29, 2014

Bank of Canada keeps rate-cut option alive, says C$ still high

OTTAWA, April 29 (Reuters) – Bank of Canada Governor Stephen
Poloz indicated on Tuesday that he remains open to the
possibility of an interest rate cut and also said the Canadian
dollar was still high in historical terms, despite a recent 10
percent depreciation.

Canada’s central bank has held its main interest rate steady
for 3-1/2 years and earlier this month once again upheld its
“neutral” stance, suggesting its next move could be either a
rate hike or a cut depending on how the economy unfolds.

Apr 23, 2014

Paramedics called to Canada PM Harper’s home on Sunday

OTTAWA (Reuters) – Paramedics were called to the residence of Canadian Prime Minister Stephen Harper on the weekend, police and municipal officials said on Wednesday, but circumstances of the emergency, which did not involve Harper or his family, were unclear.

The Globe and Mail and other local media reported that an 18-year old girl was taken to the hospital for severe intoxication after a party at the residence, citing the Ottawa Paramedic Service. The legal drinking age in the province of Ontario is 19.

Apr 16, 2014

Bank of Canada keeps rates steady, warns of weak inflation

OTTAWA, April 16 (Reuters) – The Bank of Canada signaled its
continuing concern about weak inflation on Wednesday,
maintaining its neutral stance on interest rates and suggesting
it will ignore a faster than expected rise in headline inflation
because the rise will mainly reflect temporary price increases
in volatile items.

The central bank held its benchmark interest rate at 1
percent, as expected, extending a 3-1/2 year freeze on borrowing
costs.

Apr 15, 2014

Canada Feb factory sales jump on autos, energy products

OTTAWA, April 15 (Reuters) – Canadian manufacturing sales in
February jumped to the highest level since their pre-recession
peak in July 2008, but volumes were more modest and pointed to
slower economic growth than in January.

Sales gained 1.4 percent versus expectations for a 1.0
percent increase, helped by higher auto industry sales and by
higher energy prices, Statistics Canada data showed on Tuesday.
Statscan revised down January’s sales increase to 0.8 percent
from 1.5 percent, however.

Apr 14, 2014

Canada watchdog offers rules to cut mortgage insurance risk

OTTAWA, April 14 (Reuters) – Canada’s financial regulator
issued draft guidelines on Monday for mortgage insurers to
reduce risk in the housing market, a move analysts said could
make it slightly harder for home buyers to get a loan.

The Office of the Superintendent of Financial Institutions
(OSFI) guidelines apply to the country’s three mortgage
insurance companies: the state-owned Canada Mortgage and Housing
Corp (CMHC), which insures 70 percent of residential mortgages
in the country, and private companies Genworth MI Canada
and Canada Guaranty.

    • About Louise

      "I cover Canadian economic news, central banking and politics. I am based in Ottawa and have been in my current role since 2006. Before that, I wrote about Latin America from Buenos Aires and Santiago, Chile."
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