The Economy
Trudeau Remains Optimistic Regarding NAFTA Deal
Prime Minister Justin Trudeau is continuing his meeting with U.S. President Donald Trump today regarding saving the trilateral trade pact between Canada, the U.S., and Mexico. Recently, talks of scrapping the NAFTA agreement in favor of a bilateral deal (to exclude Mexico) have emerged.
Despite the possible malignant outcomes drawn up by analysts should the NAFTA be abandoned, such as slow growth and a weakened Canadian dollar, Trudeau remains optimistic regarding reaching an agreement and says that Canada is “ready for anything.”
Today’s meeting, Trudeau hopes to lay a groundwork for a successful working relationship with Mexico for the long run, while maintaining its close trade ties with the U.S.
Unifor Labour Union Slams GM’s Threat To Move Production From Canada
Today, Unifor national president Jerry Dias expressed his displeasure with GM’s threat to move production of the Equinox sports utility vehicle from Ontario to Mexico, calling this a “war on Canada.”
Dias also describes this move as a ‘prime example’ of Mexican workers being exploited and a ‘slap in the face’ to Canada.
Canadian Real Estate Has Biggest Resale Price Drop in Seven Years
Last month, the Canadian real estate market saw its biggest resale price drop in seven years. Home prices dropped by 0.8% from August, marking the biggest monthly decline since September 2010.
Analysts are attributing this price drop to a possible housing market correction and a result of the recent interest rate hikes imposed by the Bank of Canada.
Stock Market
Securities regulator reviews application for Nasdaq exchange in Canada
Canada’s biggest securities regulator says it has reviewed an application by Nasdaq Inc. to operate a stock exchange in Canada. The Ontario Securities Commission is expected to consider the application at one of its upcoming meetings.
According to the OSC website, Nasdaq Canada, and Ensoleillement Inc., its parent company, have applied for recognition as exchanges. Nasdaq does not plan to list issuers’ securities, and if it decides to do so later, its listing rules would have to be reviewed, published for comment and presented to the commission for approval.
In February 2016, Nasdaq completed its acquisition of Chi-X Canada, an alternative trading system for the Toronto Stock Exchange.
BlackBerry Reaches Settlement With Blu Products
BlackBerry Ltd. (TSX:$BB) has reached a patent license deal with Android handset maker Blu Products, settling all existing patent litigation between the two companies and withdrawing all pending actions in the U.S. As part of the settlement, Blu Products will make ongoing payments to BlackBerry.
Most Active Stocks
Bombardier Inc (TSX:$BBD.B) will continue to be a topic of discussion as Prime Minister Justin Trudeau visits Mexico for NAFTA talks today. The Prime Minister strongly disagrees with the anti-dumping tariff decision by the Department of Commerce and has threatened to block future fighter jet purchases from Boeing.
Also, Bombardier’s rail division announced today that it will fall short on its streetcar delivery target to the Toronto Transit Commission. The TTC calls this shortfall “extremely disappointing and frustrating.” The transit agency previously filed a lawsuit against Bombardier in 2015 for failing to meet delivery targets.
Alimentation Couche-Tard Inc. (TSX:$ATD) also saw big movement following rumors that the company is eyeing grocery chain Kroger Co. Kroger’s convenience store business includes 784 locations across 18 states operating under a series of banners. Other potential bidders could be 7-Eleven and Casey’s General Stores.
Canopy Growth Corp (TSX:$WEED) continues to see high trading volume in its shares on Thursday. The company was also mentioned in a recent Globe and Mail article on the Canadian marijuana industry, highlighting the strength and experience of Canopy Growth’s management team.
Following yesterday’s Globe and Mail report naming Hudbay Minerals Inc (TSX:$HBM) as an “organic growth story,” shares of the company jumped 0.7% to $10.00 at market close. Analysts have set an average target price at $11.65 for Hudbay’s shares.
Featured Image: depositphotos/ JEGAS_RA
