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Canada’s federal Finance Minister unveiled Budget 2024 on April 16th, showcasing a significant increase in gross new spending compared to pre-budget expectations. This surge in spending was partially counterbalanced by substantial taxation measures, resulting in a mixed net impact. The budget injects a short-term stimulus into the economy through substantial new spending initiatives. However, it …

Consumers perceive a slowdown in inflation, yet their short-term inflation expectations remain mostly unchanged. This perception is tied to their own experiences with price fluctuations in essentials like food and fuel. Long-term inflation expectations have risen but are still below historical averages. Concerns persist about high inflation, driven by factors like increased government spending and …

This week, central bankers made headlines, but it was Canadian economic data that caught everyone’s attention. February saw a notable improvement in inflation, while retail sales showed weakness, raising expectations for an earlier rate cut by the Bank of Canada (BoC). The BoC’s March deliberations confirmed their readiness to lower rates later in the year, …

In February 2024, Canadian home prices, as indicated by the seasonally adjusted Aggregate Composite MLS® Home Price Index (HPI), remained stable compared to the previous month, marking an end to five consecutive declines that began last autumn. This information comes from the latest data released by the Canadian Real Estate Association (CREA). The fact that …

The Bank of Canada maintains overnight rate at 5% amid continued quantitative tightening measures. The Bank of Canada announced its decision to keep the target for the overnight rate at 5%, with the Bank Rate at 5¼% and the deposit rate at 5%. The Bank reaffirmed its commitment to quantitative tightening. Globally, economic growth witnessed …

The deadline to submit new or updated applications for the First-Time Home Buyer Incentive is March 21, 2024, at midnight ET. No new approvals will be granted after March 31, 2024. Originally designed to ease the burden of monthly mortgage payments for first-time buyers, the program involved the government acquiring partial ownership of a property. …

From National Bank of Canada In the fourth quarter of 2023, Canada experienced a second consecutive decline in housing affordability, impacting every market. This decline was driven by increased mortgage payments as a percentage of income (MPPI), attributed to rising interest rates and home prices. Consequently, recent affordability improvements have been nearly erased, with the …

After a sluggish second half of 2023, Canadian home sales show promising recovery in recent months. Recent data from the Canadian Real Estate Association (CREA) indicates a positive shift in the housing market following a lackluster performance in the latter part of 2023. According to CREA’s latest report, home sales have begun to rebound, with …

The Bank of Canada today held its target for the overnight rate at 5%, with the Bank Rate at 5¼% and the deposit rate at 5%. The Bank is continuing its policy of quantitative tightening. Global economic growth continues to slow, with inflation easing gradually across most economies. While growth in the United States has …

Income inequality increased in the third quarter as the gap in the share of disposable income between households in the two highest income quintiles (top 40% of the income distribution) and two lowest income quintiles (bottom 40% of the income distribution) reached 44.9%, up 0.5 percentage points from the third quarter of 2022. The lowest …