Canada Business & Economics
Bank of Canada raises key interest rate target to 1.25 per cent
There’s still an appalling problem with the Liberals’ tax changes for small businesses
Arizona cops arrest 80-year-old armed bank robbery suspect
Ministers leading NAFTA negotiations to meet on Davos sidelines as talks resume in Montreal
Expert tips to fight off the credit card blues on Blue Monday
The case for a royal commission on taxation grows
Chinese bitcoin miners eye sites in Quebec, Manitoba
Big swings continue as bitcoin briefly dips below $10,000
2018-01-18 01:04:15 NEW YORK -- The volatility of the digital currency markets was on display again Wednesday, as bitcoin briefly fell below $10,000 before rebounding back above $11,000 in the U.S. afternoon. With the drop below $10,000, bitcoin had lost about half its value since hitting a high above $19,000 in mid-December. Other digital currencies bounced around as well. Bitcoin has slumped 20 per cent this week as traders worry that regulators in South Korea will crack down on trading of digital currencies   Read More ...
Trudeau-Ivanka-created women-in-business group issues first proposals
2018-01-17 23:10:17 WASHINGTON — A Canada-U.S. women-in-business group created by Prime Minister Justin Trudeau and U.S. President Donald Trump released its first set of recommendations Wednesday, proposing more affordable child care and a new binational procurement initiative. It’s the first of five anticipated reports from the Canada-U.S. Council for Advancement of Women Entrepreneurs and Business Leaders, created during Trudeau’s first meeting with Trump last February   Read More ...
Bitcoin storms back from dip below $10,000 in white-knuckle ride
2018-01-17 22:33:24 Bitcoin’s wild start to 2018 turned breakneck on Wednesday, with the largest cryptocurrency plunging below US$10,000 for the first time in six weeks before staging a rally to trade virtually unchanged. The gyrations took the digital token across a trading range of more than US$2,600 over 18 hours. Its tumble to a low of US$9,186 pushed a month-long rout past 50 per cent and raised the spectre that last year’s 1,400 per cent rally was giving way to what many considered an inevitable bursting of the bubble   Read More ...
Canadian firms behaving badly abroad? A new ombudsperson is going after you
2018-01-17 21:04:22 Canadian companies that behave badly abroad are getting a new overseer tasked with cracking down on unethical corporate behaviour.International Trade Minister Francois-Philippe Champagne announced the creation Wednesday of an ombudsperson for responsible enterprise in the mining, oil and gas, and garment industries. The Liberals says that checks off another box on the list of campaign promises they’ve fulfilled as the government passes the halfway point in its mandate   Read More ...
Bitcoin’s nouveau riche rush to turn cryptocurrency into gold amid crash
2018-01-17 19:05:46 Amid the wild Bitcoin ride that’s wiped more than 40 per cent off the cryptocurrency’s price in a month, a pattern may be emerging: sellers are switching out of digital gold and into the real thing. Bullion dealer Sharps Pixley, a subsidiary of Europe’s largest precious metal coin and bar outlet, regularly sees trades north of a million pounds, while sales of gold coins at Frankfurt-based CoinInvest jumped fivefold as the largest digital asset collapsed after surging 1,400 per cent last year, according to Director Daniel Marburger   Read More ...
Bitcoin continues steep slide
2018-01-17 19:05:11 The price of bitcoin has extended its slide. The digital currency was down 17 per cent to $9,425, according to the tracking site CoinDesk. Bitcoin futures on the Cboe Futures Exchange were 14 per cent lower at $9,500. The futures allow investors to make bets on the future price of bitcoin. Many finance pros believe bitcoin is in a speculative bubble that could burst at any time   Read More ...
Loblaws in $400M tax fight with CRA over claims it set up bogus offshore bank
2018-01-17 18:09:44 Barbados transactions were designed to 'circumvent' the Income Tax Act, government alleges A senior judge warned Loblaws and the federal government this morning that she would not look kindly on any further procedural delays in a $400-million battle the two sides are waging in Tax Court. Loblaws and the government were in a Toronto courtroom in one of the biggest offshore corporate tax-avoidance cases in the country, with authorities alleging the grocery conglomerate set up a bogus foreign bank to avoid tax on hundreds of millions of dollars in investment income   Read More ...
Bank of Canada hikes key interest rate to 1.25%
2018-01-17 18:09:24 Bank notes 'uncertainty about the future of NAFTA' as it hikes rate for 3rd time since last summer Related Stories The Bank of Canada raised its key lending rate by a quarter percentage point to 1.25 per cent Wednesday, the third time it has moved its benchmark rate from once-record lows last summer. The bank's rate has an impact on rates that Canadians get from retail banks for things like mortgages, savings accounts and GICs   Read More ...
Bitcoin slumps below $10K US, then rebounds even as regulatory fears intensify
2018-01-17 18:09:20 Ethereum, Ripple also down substantially after reports South Korea, China could ban cryptocurrency trading Related Stories Bitcoin skidded below $10,000 US on Wednesday, halving in value from its peak price, before steadying, with investors gripped by fears regulators could clamp down on the volatile cryptocurrency after it rose so much last year. The price of bitcoin, the world's biggest and best known digital currency, fell to as low as $9,222 US on the Luxembourg-based Bitstamp exchange, the lowest since late November 2017, before it bounced back to around $10,000 U   Read More ...
Bank of Canada raises key interest rate target to 1.25 per cent
2018-01-17 16:34:16 OTTAWA -- The economy's impressive run prompted the Bank of Canada to raise its trend-setting interest rate Wednesday for the third time since last summer -- and to send a signal that more increases are likely on the horizon. The central bank pointed to unexpectedly solid economic numbers as key drivers behind its decision to hike the rate to 1.25 per cent, up from one per cent   Read More ...
CANADA STOCKS-TSX flat as gold miners weigh, financials and pot stocks rise
2018-01-17 16:11:08 TORONTO, Jan 17 (Reuters) - Canada’s main stock index opened flat on Wednesday, with falls among gold miners offset by gains for financial stocks and marijuana producers. The Toronto Stock Exchange’s S&P/TSX composite index was up 9.26 points, or 0.06 percent, at 16,308.14 shortly after the open. (Reporting by Alastair Sharp) Our Standards:   Read More ...
Bank of Canada expected to raise interest rate amid strong economic environment
2018-01-17 15:33:28 OTTAWA - All eyes will be on the Bank of Canada this morning as it makes its latest scheduled interest-rate announcement. Economists widely believe that based on the economic environment, it's likely that governor Stephen Poloz will raise the central bank's benchmark interest rate today for a third time since last summer. Many note that Poloz has indicated that interest rate decisions will be data dependent   Read More ...
BoC to make interest rate decision amid strong economic environment
2018-01-17 13:34:14 OTTAWA - All eyes will be on the Bank of Canada this morning as it makes its latest scheduled interest-rate announcement. Economists widely believe that based on the economic environment, it's likely that governor Stephen Poloz will raise the central bank's benchmark interest rate today for a third time since last summer. Many note that Poloz has indicated that interest rate decisions will be data dependent   Read More ...
Bank of Canada expected to hike key interest rate to highest level since 2009
2018-01-17 12:14:25 Experts predict benchmark interest rate will hit 1.25% Wednesday, a third hike since last year Related Stories The Bank of Canada is widely expected to hike its benchmark interest rate for the third time in a year this morning. After staying on the sidelines for the better part of a decade following the financial crisis, Canada's central bank raised its key interest rate twice last year, to one per cent   Read More ...
Australia complains to WTO about Canadian rules on selling wine
2018-01-17 06:29:43 World Trade Organization action launched after bilateral talks broke down, report says Related Stories Australia has complained at the World Trade Organization about the rules applied to the sale of wine by Canada and various Canadian provinces, a WTO filing showed on Tuesday. "It appears that a range of distribution, licensing and sales measures such as product markups, market access and listing policies, as well as duties and taxes on wine applied at the federal and provincial level may discriminate, either directly or indirectly, against imported wine," Australia said   Read More ...
Bitcoin prices drop as South Korea minister indicates ban still possible
2018-01-17 06:29:27 Prices of bitcoin and other digital currencies skid after fears of crackdown are revived Related Stories Prices of bitcoin and other digital currencies have skidded after South Korea's top financial policymaker said Tuesday that a crackdown on trading of cryptocurrencies was still possible. Finance Minister Kim Dong-yeon said in an interview with Seoul radio station TBS that banning trading in digital currencies was "a live option   Read More ...
Restaurateur claims Alberta NDP hurting business owners
2018-01-17 06:22:10 As Scott Winograd prepares to close the Bears Den for good, he says NDP government is hurting business owners. Alesia Fieldberg reports. Subscribe to CTV New   Read More ...
CANADA STOCKS-TSX slips as materials stocks weigh, pot stocks rise
2018-01-16 16:13:12 TORONTO, Jan 16 (Reuters) - Canada’s main stock index edged lower in early trade on Tuesday, as gold miners and other materials stocks weighed while marijuana producers extended their latest rally. The Toronto Stock Exchange’s S&P/TSX composite index was down 33.34 points, or 0.2 percent, at 16,338.47 shortly after the open. (Reporting by Alastair Sharp Editing by Chizu Nomiyama) Our   Read More ...
There’s still an appalling problem with the Liberals’ tax changes for small businesses
2018-01-16 15:06:28 In the months of controversy that followed after the federal government issued a number of proposed tax changes for private corporations last July, the finance ministry has now abandoned some of its original plans entirely while substantially revising one proposal (namely, new rules for income splitting). But there is one proposal still unresolved: the taxation of so-called “passive income” earned by Canadian-controlled private corporations (CCPCs)   Read More ...
Business is the reluctant hero in the minimum wage transition: Don Pittis
2018-01-16 12:10:24 Some are angry and grudging, but part of the brilliance of capitalism is its ability to deal with change Related Stories We don't give business enough credit. And sometimes it seems the lowest expectations for the ability of capitalism to adjust to changes like the rise in minimum wage come from those who claim to speak for business. In a recent panel discussion on the CBC, C   Read More ...
Federal carbon tax revenue could bypass provinces and go directly to taxpayers, draft bill indicates
2018-01-16 02:03:46 OTTAWA — The federal government is keeping an option open to bypass provincial governments and give carbon tax revenue directly to taxpayers in provinces that don’t come up with their own carbon pricing schemes. Ottawa has promised that revenue from a federal backstop carbon price will go back to the provinces it comes from. But a draft legislative proposal released Monday indicates that the money could go either to the province or to individuals   Read More ...
Arizona cops arrest 80-year-old armed bank robbery suspect
2018-01-16 01:09:35 TUCSON, Ariz. — Police in Arizona have arrested an 80-year-old man they say robbed a credit union at gunpoint. Tucson police said Sunday that a tip led to the arrest of Robert Francis Krebs after authorities circulated surveillance photos of him entering the Pyramid Credit Union and at a teller’s window. They say Krebs had a handgun, demanded money from the teller and was given cash before running out of the bank   Read More ...
BlackBerry unveils cybersecurity tool for cars Jarvis, upping bet on auto market
2018-01-15 22:33:50 BlackBerry Ltd. is launching a new security tool for automobile manufacturers, one of the company’s major areas of growth. Executive chairman John Chen says the new BlackBerry Jarvis will scan all software components in a vehicle within minutes to predict and fix vulnerabilities. Jarvis will be customized for each manufacturer and sold by BlackBerry on a pay-per-use basis. The company, based in Waterloo, Ont   Read More ...
Lawsuit in US accuses nine banks of rigging Canadian rate benchmark
2018-01-15 21:02:32 NEW YORK/TORONTO: Nine large banks, including six from Canada, have been accused in a lawsuit of conspiring to rig a Canadian rate benchmark to improve profits from derivatives trading. The complaint, filed by a Colorado pension fund in U.S. District Court in Manhattan late on Friday, accused Royal Bank of Canada , Toronto-Dominion Bank , Bank of Nova Scotia and the other banks of suppressing the Canadian Dealer Offered Rate (CDOR) from Aug   Read More ...
Ministers leading NAFTA negotiations to meet on Davos sidelines as talks resume in Montreal
2018-01-15 18:33:42 The three ministers leading negotiations to revamp NAFTA will get two chances for face-to-face talks this month, including one near the slopes of Davos. U.S. Trade Representative Robert Lighthizer, Mexican Economy Minister Ildefonso Guajardo and Canadian Foreign Minister Chrystia Freeland are due to attend the World Economic Forum in Switzerland, which begins on Jan. 23, the same day the sixth round of North American Free Trade Agreement talks get underway across the Atlantic in Montreal   Read More ...
New cryptocurrency for medical cannabis industry still hazy: economists
2018-01-15 18:15:23 Think of it as a kind of Bitcoin for weed. A Toronto-based Internet technology company, CannaSOS Corp., is hoping its cryptocurrency, PerksCoin Tokens, will be the future of buying and selling pot. The idea is that the funds, using blockchain technology, will be used within its online network of medical cannabis providers, producers, doctors, dispensaries and consumers. “The best way to explain it would be – imagine Bitcoin but with less volatility, with a service like PayPal and with transaction processing only being a couple of seconds,” said company co-founder Daniel Cheine   Read More ...
Price of average Canadian home rose to $496,500 in December, up 5.7% in 2017
2018-01-15 18:08:31 Prices cooling off, but pace of sales is increasing, Canadian Real Estate Association says Related Stories The average selling price of a home sold in December rose to $496,500, the Canadian Real Estate Association said Monday, with the group's house price index slowing to its smallest pace of gains since February 2016. The average price increased by 5.7 per cent in 2017, but the real estate agent's group says the average sale price number can be misleading, because it is skewed by high prices and sales volumes in big markets like Toronto and Vancouver   Read More ...
The real problem with NAFTA is Canada, not Mexico, Paul Ryan says
2018-01-15 17:05:09 U.S. House Speaker Paul Ryan said the biggest problem with the North American Free Trade Agreement “comes from the North,” with Canadian dairy producers dumping low-cost products on the market to compete with Wisconsin farms. Ryan said Friday that NAFTA needs to be “updated,” but the U.S. should work within the framework of the deal that took effect in 1994, rather than pulling out   Read More ...
Bank of Canada to start 2018 with a hike, despite NAFTA risks
2018-01-15 15:43:11 Analysts expect the BoC to raise rates three times this year, starting on Wednesday with a 25 basis point increase that will take the benchmark borrowing cost to 1.25 percent. The central bank raised rates twice back-to-back last year as it removed monetary stimulus it put in place in 2015 amid a collapse in the price of oil, a major export for Canada   Read More ...
Feds to invest $49M to support advanced manufacturing at Linamar auto part maker
2018-01-15 15:34:19 OTTAWA - The federal government will announce a $49-million grant to help automotive parts maker Linamar Corp. develop its advanced manufacturing technologies. Economic Development Minister Navdeep Bains will make the announcement this morning in Guelph, Ont. The project will be the first to receive cash through a federal program announced in last year's budget to support research and development, the scale-up of high-potential companies and efforts to attract investment to Canada   Read More ...
Feds to invest $49M to support advanced manufacturing at Linamar
2018-01-15 15:33:43 OTTAWA - The federal government will announce a $49-million grant to help automotive parts maker Linamar Corp. develop its advanced manufacturing technologies. Economic Development Minister Navdeep Bains will make the announcement this morning in Guelph, Ont. The project will be the first to receive cash through a federal program announced in last year's budget to support research and development, the scale-up of high-potential companies and efforts to attract investment to Canada   Read More ...
Expert tips to fight off the credit card blues on Blue Monday
2018-01-15 15:33:33 You can’t change the weather or the calendar, but there are ways to manage the financial blues with these expert tips for tackling post-holiday credit card debt on today’s so-called “Blue Monday.” Canadians spent an average of approximately $1,500 on Christmas this year, personal finance expert Rubina Ahmed-Haq says. And for those who paid for those expenses on credit, the bills are about to come due   Read More ...
Ottawa to invest $49 million in Linamar’s advanced auto parts manufacturing tech
2018-01-15 15:05:44 OTTAWA — The federal government will announce a $49-million grant to help automotive parts maker Linamar Corp. develop its advanced manufacturing technologies. Economic Development Minister Navdeep Bains will make the announcement this morning in Guelph, Ont. The project will be the first to receive cash through a federal program announced in last year’s budget to support research and development, the scale-up of high-potential companies and efforts to attract investment to Canada   Read More ...
Staggering share of Canadians fear bankruptcy if interest rates rise much more
2018-01-15 14:33:15 Over 30 per cent of Canadians say they’re concerned that rising interest rates could push them close to bankruptcy, according to a nationwide survey conducted by Ipsos on behalf of MNP, one of the largest personal insolvency practices in the country.The result is just one of a number of findings signalling that household budgets have become significantly tighter since the Bank of Canada (BoC) started raising interest rates in July   Read More ...
From mortgages to NAFTA, the Bank of Canada shows it has real political clout: Don Pittis
2018-01-15 12:10:07 Loonie's plunge after Trump trade threat is evidence, as Poloz responds to political events Bank of Canada governor Stephen Poloz always insists he doesn't play politics. He also insists the bank is not concerned with the value of the Canadian dollar. But that may not be how the world sees it. Markets now seem confident that Poloz will increase interest rates by a quarter of a percentage point on Wednesday when he presents the bank's latest Monetary Policy Report   Read More ...
Canadian pension fund gets approval to buy $17.7M dairy farm
2018-01-15 08:13:07 Canada's Public Sector Pension Board gets OIO approval to buy $17.7M dairy farm and block By Rebecca Howard. Jan. 15 (BusinessDesk) - Canada's Public Sector Pension Investment Board, or PSP Investments, got a green light to buy a medium-sized dairy farm and a neighbouring dairy support block in Canterbury for $17.7 million just ahead of tougher requirements on land sales to foreign buyers   Read More ...
Rogers' employees say managers turn a blind eye so call centre workers can lie and cheat customers
2018-01-15 06:06:02 'We do not believe the concerns raised represent our values or sales practices,' Rogers says Call centre employees working for Rogers Communications say the telecom company is pressuring them to try to make a sale on every call — even to elderly people who don't understand or need certain products or services. In emails and interviews with Go Public, dozens of Rogers workers say they're under "extreme pressure" to hit sales targets or risk termination   Read More ...
Canada’s bank regulator pushes for faster Basel III adoption
2018-01-14 18:09:57 Canada’s financial watchdog plans to revise capital requirements for the nation’s banks, drafting more risk-sensitive interim rules while moving faster toward adopting new criteria set by global regulators. The Office of the Superintendent of Financial Institutions’ Carolyn Rogers announced the changes Tuesday during a speech at a conference hosted by RBC Capital Markets in Toronto. She said Canadian banks would have until the fourth quarter to conform to an interim risk model that transitions toward capital standards announced in December by the Basel Committee on Banking Supervision   Read More ...
KFC Canada's 'bitcoin bucket' attempts to cash in on cryptocurrency craze
2018-01-14 18:04:52 KFC Canada's "bitcoin bucket" sold out an hour after it was made available, the company said in a series of posts on Twitter playing up the cryptocurrency theme. KFC Canada presents The #Bitcoin Bucket. Sure, we don’t know exactly what Bitcoins are, or how they work, but that shouldn’t come between you and some finger lickin’ good chicken. https://t   Read More ...
Preparations, but no NAFTA plan B yet, says trade minister
2018-01-14 14:02:46 OTTAWA -- With the next round of NAFTA talks approaching, and uncertainty about where the U.S. stands from one day to the next, Canada’s International Trade Minister said there’s no clear “plan B” if the trilateral deal gets torn up. “It's not about a plan B, it's about (having) every eventuality mapped out,” Francois-Philippe Champagne told CTV Question Period host Evan Solomon   Read More ...