Canadians have been house crazy during the pandemic, and it’s been a big boost to the economy. Now with housing returning to more typical volumes, it’s turned into a drag on the economy. Statistics Canada (Stat Can) data shows real gross domestic product (GDP) slipped lower in July. Even with a pullback, it’s making progress […]
Canadian debt is dirt cheap, but it won’t be this cheap forever, warns BMO. Douglas Porter, the bank’s chief economist, expects the cost of borrowing to remain “low for long.” He just doesn’t see it being quite as low as the current stimulus driven environment. As governments taper stimulus to fund its spending, borrowing rates […]
The Canadian economy defied odds, and became more dependent on real estate investment. Statistics Canada (Stat Can) residential investment data shows a surge in current dollars for Q2 2021. The most recent quarter showed a massive climb — much bigger than GDP in general. This pushed residential investment’s share of the economy to a new […]
Canada’s housing market giveth and taketh away. BMO senior economist Sal Guatieri dropped some notes on plummeting residential investment today. The segment of gross domestic product (GDP) fell so fast in Q2 2021, it held the whole economy back. The bank warned this is just the beginning for housing investment, as it comes back to […]
Canada’s faster-than-expected economic recovery just came to an unexpected halt. Statistics Canada (Stat Can) data shows gross domestic product (GDP) declined in Q2 2021. The Bank of Canada (BoC) expected robust growth this quarter, so they were way off. Weak growth now places the country in a tricky situation, with high inflation and low GDP […]
Canadian real estate went from being a boost for the economy, to being a drag in just over a year. Statistics Canada (Stat Can) data shows real gross domestic product (GDP) fell in May. Amongst the sectors causing the slowdown was real estate, having peaked in March. Since then the sector has been deteriorating at […]
The Canadian real estate slowdown is becoming a drag on gross domestic product (GDP). Statistics Canada (Stat Can) data shows the GDP sector of real estate, rental and leasing (RERL) fell in April. The decline is the first move lower in five months, due to a drop in revenues at real estate brokerages. That would […]
Canada is really depending on real estate to spackle shut the holes in the economy. Statistics Canada (Stat Can) data shows real estate commissions and fees hit a new high in March. The segment of gross domestic product (GDP) is growing so fast, it’s now a whole point of the country’s output. It also represents […]
Canadian real estate is such a big part of the economy, just its spin-off economic activity is now a huge deal. The Canadian Real Estate Association (CREA) has forecast big 2021 home sales, but the second half will be slower than the first. Next year they see a less exciting, but more typical year for […]
The Canadian economy is recovering much faster than expected… just not in a healthy way. Canadian real gross domestic product (GDP) is down less than two points in Q4 2020. Digging into the numbers, we see the headline is better due to households doubling down on real estate mania. When housing is stripped from GDP, […]
