Economy

Household balance sheets showing strain: BoC

While it was an overleveraged U.S. household that was a guiding factor to the current financial crisis, the destruction it has caused in the capital markets has transformed Canadian individual household debt levels from sound to potentially vulnerable, the Bank of Canada says. According to the BoC’s Financial System Review, the decline in stock markets […]

By Mark Noble |December 11, 2008

3 min read

CIBC trims TSX outlook

Investors may want to hold their cash and watch for an entry point before jumping back into the equity markets, as there may be yet another leg down before a recovery firms up in the second half of 2009, according to a report from CIBC World Markets. The research department of the bank has trimmed […]

By Steven Lamb |December 10, 2008

2 min read

Bank of Canada chops rate

The Bank of Canada has slashed its key overnight lending rate by 75 basis points, to 1.5%. The Bank rate has been adjusted accordingly to 1.75%. Many Bank watchers had been anticipating a cut of just 50 basis points. “The outlook for the world economy has deteriorated significantly and the global recession will be broader […]

By Steven Lamb |December 9, 2008

2 min read

Market likely near bottom: Experts

If past market indicators are to be believed, the bottom of the stock market slide is likely close, according to a panel of renowned experts compiled by the CFA Institute. The problem is that this downturn is unprecedented in how it behaves, so it’s not out of the realm of possibility things could get worse. […]

By Mark Noble |December 8, 2008

5 min read