Canadians are coming off a credit growth high, and while expected, it may not be pretty. Bank of Canada (BoC) data shows the M2++ broad money supply printed the lowest annual growth on record in April. That’s good news for tempering inflation, but bad news for the general economy. M2++ Money Supply The M2++ is […]
Time for your cheat sheet on this week’s top stories. Canadian Real Estate Four Reasons Canada’s Real Estate Bubble Is A Systemic Banking Risk Canada’s banks have a reputation for being some of the most prudent in the world, but it’s tarnishing fast. After going all-in on real estate, they’re now exposed to significant risks […]
Advanced economies like Canada are experiencing something that hasn’t been seen since the early 80s—no one believes Central Banks. It doesn’t matter how hard the Bank of Canada (BoC) or US Federal Reserve (the Fed) tries, most people don’t see them playing the tough guy. Few are tapering their demand from levels seen during record […]
Canadian real estate prices are rising, and that’s bad news if you’re looking for cheap credit. Statistics Canada (Stat Can) reported new home prices made the first increase in nearly a year. In a research note to investors, BMO warned the increase is just one of many housing data points that shows shelter is back […]
Canada’s banks developed a global reputation as some of the most prudent in the world after 2008. It’s a factor that makes it hard for many to believe there’s a real estate bubble—the country’s responsible banks just wouldn’t allow it, right? Unfortunately, the only thing Canada’s banks learned is they’re too big to fail, and […]
Canada’s bank regulator is growing increasingly concerned about a risk event. This morning the Office of The Superintendent of Financial Institutions (OSFI) raised the Domestic stability buffer (DSB) target 50 basis points (bps) to 3.5% of risk weighted assets (RWA). Banks subject to the buffer will have until November 1, 2023 to get it done. […]
Canadian real estate is heating up, after a brief correction. Both prices and sales are up around most of the country—some markets rising by tens of thousands in May. Don’t expect it to last, warns a top economist. Oxford Economics warned clients they expect this to be a temporary boost, and the pullback for existing […]
Time for your cheat sheet on this week’s top stories. Canadian Real Estate Canadian Real Estate Market Strength Unlikely To Last: RBC The Canadian real estate market has been surging since the Bank of Canada’s “pause” announcement, but RBC expects this momentum to slow due to rising interest rates and an improvement in inventory. Rising […]
Canadian real estate prices are back to surging after a correction that barely lasted a year. However, the momentum carrying prices higher isn’t expected to last very long after the latest Bank of Canada (BoC) rate hike. RBC, the country’s largest bank, expects rising interest rates will throttle demand at a time when more supply […]
Canadians went on a record debt binge, and are now left with one of the worst hangovers in history. Statistics Canada (Stat Can) data shows the household debt service ratio (DSR) surged to a new record high in Q1 2023. Households now dedicate a record share of income to repayment, and it’s not just due […]
