Randall's Feed
May 6, 2015

Record Canada trade deficit masks non-energy export strength

OTTAWA, May 6 (Reuters) – A record Canadian trade deficit in
March caused by plunging oil prices has masked an encouraging
trend – strength in non-energy exports that the central bank is
counting on to revive economic growth.

The report on Tuesday showing gains for sectors like auto
parts and forestry, combined with encouraging outlooks from some
company executives, suggest the Bank of Canada’s forecast of an
export-driven pickup in growth later this year is taking shape.

May 4, 2015

Canada’s Trudeau vows to make rich pay for middle class tax cut

GATINEAU, Quebec, May 4 (Reuters) – Canadian Liberal leader
Justin Trudeau pledged on Monday to cut taxes for most
middle-class families and raise taxes on the rich as he sought
to regain his polling lead over the governing Conservatives
ahead of October’s election.

Trudeau, son of former Prime Minister Pierre Trudeau, helped
lift the Liberals into first place in the polls when he took
over as leader in 2013, but the party has since slumped and has
trailed Prime Minister Stephen Harper’s Conservatives in some
recent polls.

May 4, 2015

Canada’s Trudeau vows to cut middle-class taxes, hike taxes on rich

GATINEAU, Quebec, May 4 (Reuters) – Canadian opposition
Liberal leader Justin Trudeau pledged on Monday to cut taxes for
most middle-class families and raise taxes on the rich, as he
sought to regain his polling lead over the ruling Conservatives
ahead of an October election.

Trudeau, son of former Prime Minister Pierre Trudeau, helped
lift the Liberals into first place when he took over as leader
in 2013, but the party has since slumped and has trailed Prime
Minister Stephen Harper’s Conservatives in some recent polls.

Apr 28, 2015

Bank of Canada’s Poloz shrugs off Carney comparison

OTTAWA, April 28 (Reuters) – Bank of Canada Governor Stephen
Poloz defended himself against criticism on Tuesday that his
surprise January rate cut unduly shocked markets and for failing
to use measured language like his predecessor, current Bank of
England chief Mark Carney.

Poloz also said the negative effects from the oil price
shock would last longer than three or four months, but would
begin to be “overwhelmed” after the first quarter by renewed
exports and other positives.

Apr 22, 2015

Populist Conservative budget puts Canada’s Liberals in election squeeze

OTTAWA, April 22 (Reuters) – Canadian Prime Minister Stephen
Harper, facing a battle to win reelection to a rare fourth term
in October, has boosted his chances with a populist budget
expected to energize his base.

The tax breaks in the budget the Conservative government
delivered on Tuesday, plus the cold hard cash it will give to
every family with children starting in July, put pressure on
Harper’s main opponent, Liberal leader Justin Trudeau, to spell
out an economic agenda with just as much vote-getting appeal.

Apr 21, 2015

With eye on election, Canada Conservatives balance budget with asset sales

OTTAWA, April 21 (Reuters) – Canada’s Conservative
government, seeking reelection this year, delivered a federal
budget on Tuesday that promised a slim surplus despite the oil
price crash, while offering goodies to seniors and small
businesses and boosting security spending.

It will mark Canada’s first surplus in eight years,
accomplished with the help of the sale of assets including
General Motors shares. The government also cut some of
the cushion set aside for economic shocks.

Apr 18, 2015

Bank of Canada decision pushed traders to catch up on C$: Poloz

WASHINGTON (Reuters) – The Bank of Canada’s decision to hold interest rates steady last month, coming on the heels of rising oil prices, appears to have pushed hesitant foreign exchange traders to bid up the Canadian dollar, central bank Governor Stephen Poloz said.

He was referring to the central bank’s April 15 rate decision, which came after a surprise rate cut in January and was coupled with a forecast that economic growth would rebound strongly this year from zero growth in the first quarter.

Apr 18, 2015

Bank of Canada ignores C$-tied rise in March core inflation

WASHINGTON, April 17 (Reuters) – The Bank of Canada will
ignore that part of the surge in March core inflation which is
due to the fall in the Canadian dollar, Governor Stephen Poloz
said on Friday, adding that the growing output gap was exerting
downward pressure on inflation.

Canada’s core inflation rose to 2.4 percent in March from
2.1 percent in February, putting it well above
the central bank’s 2 percent target. Poloz, however, said the
jump was primarily due to higher prices for cars, which are
sensitive to exchange rates.

Apr 17, 2015

G20 strikes hopeful tone, but officials fret over Greece

WASHINGTON (Reuters) – The Group of 20 leading economies struck a hopeful tone on the outlook for global growth on Friday even as officials fretted that Athen’s inability to strike a deal with its lenders could upset Europe’s tentative recovery.

In a draft of a communique to be released later in the day, G20 finance ministers and central bankers welcomed brighter economic signs in rich economies, but lamented over weakness in some emerging nations.

Apr 17, 2015

Britain backs eventual yuan inclusion in IMF’s SDR basket

WASHINGTON (Reuters) – Britain favors the eventual inclusion of the Chinese yuan in the International Monetary Fund’s SDR basket of currencies, finance minister George Osborne said on Friday, saying it was important to include emerging powers in the world system.

He also sought to explain Britain’s surprise decision last month to join the Beijing-dominated Asian Infrastructure Investment Bank (AIIB), despite reservations from some allies, by reasoning that it was important to influence the bank’s direction.