Author: Robert Jessi

Good morning. Deputy Governor Toni Gravelle and I are pleased to be here to discuss the Bank of Canada’s Financial Stability Report, or FSR. A stable and efficient financial system is essential to our economy. It supports growth and helps households and businesses to save, invest and manage risks. We monitor the financial system closely—and each year, we publish this report to share our assessment with Canadians. The FSR is very different from our Monetary Policy Report. It is not a forecast, and it does not guide interest rate decisions. Instead, it gauges the resilience of the Canadian financial system…

The Canadian Dollar (CAD) trades lower against its major currency peers in the European trade on Monday amid caution surrounding the Bank of Canada’s monetary policy announcement on Wednesday.The Loonie faces selling pressure amid expectations that the BoC will hold interest rates steady at 2.25%, even as Canada’s Consumer Price Index (CPI) grew at a faster pace of 2.8% Year-on-Year (YoY) in April against the preliminary reading of 2.4%.Meanwhile, the Canadian labor market data for May has come in stronger than projected. The report shows that the economy created 87.8K fresh jobs, significantly higher than 10K estimates. In April, the…

Accumulating If you are in the accumulation phase, new deposits should result in new cash to be invested on a regular basis. This is also an opportunity to scoop up any cash that has accumulated from dividends, interest, and other distributions to invest as well.  Whether you should maintain an intentional cash allocation depends. If the account is a registered retirement savings plan (RRSP) or similar retirement plan for many years from now, there may be no reason to hold a cash allocation.One exception might be if you intend to use the Home Buyer’s Plan (HBP) and take an RRSP…

Rush Enterprises increases loan commitment for Canadian subsidiary

Jennifer Tozser, senior wealth advisor & portfolio manager at National Bank Financial Wealth Management, joins BNN Bloomberg to discuss Canada’s economic data. Canada’s inflation rate has moved higher due to energy prices, but underlying economic pressures remain more complex. While energy-related inflation could ease if geopolitical tensions subside, longer-term concerns about productivity and competitiveness continue to weigh on the country’s outlook.BNN Bloomberg spoke with Jennifer Tozser, senior wealth advisor and portfolio manager at National Bank Financial Wealth Management, about inflation, interest rates, regional economic divergence, capital investment and why investors may not need to chase high-profile IPOs.Key TakeawaysEnergy prices are…

struggles as Starmer on resignation watch. caught between falling oil prices and a hawkish Fed.GBP/USD Struggles as Starmer on Resignation WatchGBP/USD is trading close to this year’s lows as political uncertainty builds and speculation surrounding Prime Minister Keir Starmer’s future adds another headwind for sterling. Starmer may step down as soon as today, although it is still unclear whether he will or whether he will remain in power to fight any potential leadership challenge from Greater Manchester Mayor Andy Burnham, whose victory in the Makerfield by-election has given him a path to Westminster. For the pound, the key focus is…

The Aussie Dollar is still looking for a fresh catalyst to resume its upward trend, which began in late March and appears to have lost momentum ahead of the 0.7300 hurdle in early May. Meanwhile, dynamics around the US Dollar and geopolitics seem to have been too much for the Aussie, prompting a correction in AUD/USD to the area below the key 0.7000 contention zone. In the meantime, the AUD manages to keep its constructive outlook, bolstered by still elevated inflation at home and the RBA’s cautious stance.The Australian Dollar (AUD) builds on recent losses and sparks a somewhat consolidative…

The Pound to Canadian Dollar (GBP/CAD) exchange rate drifted lower last week as investors pared back expectations for future Bank of England tightening following a cautious policy update and renewed political uncertainty in the UK. At the time of writing, GBP/CAD was trading around CA$1.8670, down roughly 0.4% on the week. Latest — Exchange Rates:Pound to Canadian Dollar (GBP/CAD): 1.87297Euro to Canadian Dollar (EUR/CAD): 1.62366Dollar to Canadian Dollar (USD/CAD): 1.41528 DAILY RECAP: The Pound (GBP) spent much of last week trading cautiously as investors awaited several key UK events. While economic releases continued to provide a mixed picture of the…

The Bank of Canada announced today it is joining the Bank for International Settlements’ Project Agorá, an initiative exploring how tokenization could improve wholesale cross-border payments. The project has successfully tested the feasibility of a multi-currency unified ledger that enables atomic settlement of cross-border wholesale transactions. The Agorá prototype combines tokenized commercial bank deposits and wholesale central bank money on a programmable platform with the aim of improving the speed, efficiency, transparency and accessibility of international payments. The project will continue to test the prototype and examine how an Agorá-type platform could operate within existing legal and regulatory frameworks, including…

The US dollar is rallying, breaking above the 1.40 level. The market continues to look as if it is trying to break to the upside, perhaps to the 1.41 level, an area that’s been resistance in the past. This, I believe, is a direct indictment of the Canadian economy. This is also perhaps being helped a little bit by the fact that oil is cooling off. But in the longer term, this looks like it could have some room to run. If we can clear the 1.41 level, we could be looking at 1.45. At this juncture, short-term pullbacks continue…