Home » Posts tagged 'cbc news' (Page 6)

Tag Archives: cbc news

Food prices increased by four per cent over the year, largely because of the low loonie

According to the Consumer Price Index, food prices increased by four per cent from Jan. 2015 to Jan. 2016. But fresh vegetables alone were up 18 per cent. For example, just in December, the price of tomatoes shot up by 30 per cent.

“Well, obviously the weak loonie has had an impact on produce and fruit prices,” said Sylvain Charlebois, professor of marketing and consumer studies at the University of Guelph Food Institute. “They’ve gone up significanty.”

According to the Consumer Price Index, released by Statistics Canada on Friday, food prices increased by four per cent in January 2016, compared to the same month a year earlier. But fresh vegetables were up 18 per cent over that period, while the price of tomatoes alone shot up 30 per cent from the previous month.

Lettuce was up nearly 18 per cent in January, compared to a year earlier, while other fresh vegetables, including broccoli, cauliflower, celery and peppers, registered their largest year-over-year increase since April 2009, rising 23 per cent over the previous year.

Fresh fruit was up nearly 13 per cent for the year, with apples rising 16.6 per cent and oranges 11.

‘Driven by the weakened currency’

“Clearly many importers had to procure some produce outside of North America and that really increases transportation costs,” Charlebois said. “Peppers — we’ve had to go to Europe to get some of those products — so that’s why some products have increased by more than 30 per cent in a month.”

…click on the above link to read the rest of the article…

Gold price over $1,200 has bullion buyers sure rally will continue

February 19, 2016

Gold price over $1,200 has bullion buyers sure rally will continue

Price of bullion is rising fast, especially when converted into Canadian currency

Gold has outperformed almost every single other asset class as an investment this year. Many backers of the precious metal say the rally is just getting started.

Gold has outperformed almost every single other asset class as an investment this year. Many backers of the precious metal say the rally is just getting started. (Frantzesco Kangaris/Bloomberg)

The price of an ounce of gold bullion has risen from a little over $1,000 US an ounce in late December to above $1,200 US Thursday, through a period when every single major stock index has fallen.

That’s part of a widespread flight to safety that has seen investors dump anything perceived as risky — stocks, oil and currencies like the Canadian dollar — and put their money into investments that are perceived to be safer.

That’s leading them right to gold, which is gaining ground after a multi-year slide.

“Investors are suddenly waking up to the risks in the market, pretty much like what happened in 2008,” said Robert Cohen, a portfolio manager at Scotiabank’s Dynamic Funds.

Mini-rally underway

“This time it’s more of a slower motion train wreck out there, so people are slowly digesting that information and systematically moving to safe havens like gold.”

Part of gold`s rally is due to a relative dearth of better options. That’s because central banks have cut interest rates so low that non-risky assets now can`t outperform inflation.

Bloomberg recently reported that almost a third of all the sovereign debt held by developed economies is negative yielding. That`s more than $7 trillion worth of assets guaranteed to lose money if held to maturity. Against a backdrop like that, it’s not hard to see gold’s appeal.

…click on the above link to read the rest of the article…

OECD cuts growth outlook for Canada’s economy this year and next

February 18, 2016

OECD cuts growth outlook for Canada’s economy this year and next

Canada, other economies ‘reliant on commodity exports’ bear brunt of global slowdown

A worker builds a jet engine at a factory in Quebec. According to the OECD, Canada's economy is going to perform worse than previously anticipated this year and next.

A worker builds a jet engine at a factory in Quebec. According to the OECD, Canada’s economy is going to perform worse than previously anticipated this year and next. (Radio-Canada)

The Organization for Economic Co-operation and Development said Thursday that after eking out a 1.2 per cent expansion in 2015, Canada’s economy is on track to grow by 1.4 per cent this year and 2.2 per cent next year.

The forecasts for this year and next are less than had been expected by the group, which conducts research on the world’s richest nations, in its last quarterly forecast.

As recently as November, the group was expecting Canada’s economy to grow by two per cent this year and 2.3 per cent next year.

The group singled out Canada and other economies described as “reliant on commodity exports” for bearing the brunt of a global economic slowdown that seems underway.

In 2015, the world’s economy grew by five per cent, it’s slowest pace in five years, the OECD said. The group expects a repeat performance in 2016.

“Trade and investment are weak,” said Catherine Mann, the organization’s chief economist. “Sluggish demand is leading to low inflation and inadequate wage and employment growth.”

The estimate for U.S. growth has been lowered by 0.5 to 2.0 per cent in 2016 and by 0.2 to 2.2 per cent in 2017. There were also downgrades for the other G7 countries — Germany, France, Italy, Japan and the United Kingdom — as well as Brazil.

…click on the above link to read the rest of the article…

Auto loan delinquency spikes in Alberta, Saskatchewan

February 17, 2016

Auto loan delinquency spikes in Alberta, Saskatchewan

Credit agency TransUnion points to non-mortgage debt defaults in oil-producing provinces

Pickup truck sales have grown rapidly in the past five years, but with job losses in Alberta and Saskatchewan, the debt from auto loans is hanging over some consumers.

Auto loan delinquency rates in Canada were at their highest level in four years in the fourth quarter of 2015, driven by spikes of 35 per cent in Alberta and 19 per cent in Saskatchewan.

According to the credit trends reporting agency TransUnion, Saskatchewan has the highest auto loan delinquency rate in the country, at 2.7 per cent, followed by Alberta at 2.4 per cent.

Delinquency on auto loans occurs when payments are 60 or more days past due.

“Falling oil prices have led to rising unemployment rates in oil-rich regions,” said Jason Wang, TransUnion’s director of research and analysis.

“We are now seeing the increase in unemployment in these areas manifest as rising delinquencies across the board, though the greatest impact has been on auto loans.”

For Canada as a whole, auto loan delinquencies rose to 1.3 per cent.

Moody’s has warned some Canadian banks over auto loans, which have been getting larger as buyers opt for large vehicles and is now spread over longer terms of up to seven years.

There were also shifts in delinquency rates on other non-mortgage debt, with more people in British Columbia and Ontario able to keep up with their bills, while delinquencies climbed in Quebec, Alberta and Saskatchewan.

TransUnion said Canadians’ average non-mortgage debt edged up slightly to $21,512 at the end of 2015, from $21,248 in 2014.

Canadians used their credit cards more heavily during holiday shopping in 2015, and there was 4.1 per cent more debt on credit cards, Wang said.

…click on the above link to read the rest of the article…

Average house price in Canada up 17% in January to $470,297

February 16, 2016

Average house price in Canada up 17% in January to $470,297

House prices increased by an astounding 17 per cent in January, CREA said.

House prices increased by an astounding 17 per cent in January, CREA said. (Patrick T. Fallon/Bloomberg)

Home sales were higher during the month, but prices truly soared, the Canadian Real Estate Association reported Tuesday.

As has been the case for several years, however, two large and hot markets, in Toronto and Vancouver, skewed the national average higher.

Strip the two cities out of the numbers and the average Canadian home was worth $338,392 last month while the year-over-year gain drops to eight per cent.

If B.C. and Ontario were stripped out, the picture would look even bleaker — the average price of a Canadian home would have dropped by 0.3 per cent in January to $286,911.

“While we continue to believe that things just can’t any hotter, markets in B.C. and Ontario continue to prove us wrong,” TD economist Diana Petramala said, adding that for Toronto and Vancouver, “every month of double-digit home price growth raises the risk of a deeper home price correction down the road.”

Despite the eye-popping price gains on a national level, there are signs of tightening in the market locally.

On an annualized basis, prices declined in January in four provinces, including Alberta, Saskatchewan, Nova Scotia and Newfoundland and Labrador.

The average price gain across Canada’s 26 largest cities was 4.7 per cent in January; the strongest was 31 per cent in Vancouver; the weakest was –10 per cent, in Newfoundland and Labrador, which is considered one single market and thus compared to other cities.

…click on the above link to read the rest of the article…

An east-west power grid, Canada’s elusive national dream

February 14, 2016

An east-west power grid, Canada’s elusive national dream

Inter-provincial strategy would help environment, but political will could be lacking

The price tag for transmission lines can be hefty. The longer the distance, the bigger the sticker shock.

The price tag for transmission lines can be hefty. The longer the distance, the bigger the sticker shock. (Jacques Boissinot/Canadian Press)

Constructing an east-west electricity grid in Canada is far from a novel idea. Politicians and other leaders have openly mused about the idea throughout the last decade.

Sharing power between provinces is once again on the discussion table, as B.C. Premier Christy Clark pushes the federal government to consider a national grid. The idea is being pitched as a way to combat climate change and to help Canada achieve its latest environmental goals, which are currently under development.

At first blush, an east-west power grid seems like a no-brainer. While some provinces are blessed with an abundance of hydroelectricity, others are still burning coal to keep the lights shining, cellphones charging and coffee makers gurgling.

The east-west grid is again a discussion point in the country, largely as a solution to combat climate change and as a way to help Canada achieve its latest environmental goals, which are currently under development.

B.C. Premier Christy Clark is pushing the federal government to consider a national grid. She will host a meeting with environmental ministers from across the country in early March to figure out how Canada can reach the commitments it made at the UN climate conference in Paris.

British Columbia Premier Christy Clark is asking the federal government to help build new electrical infrastructure that would allow B.C. to sell hydro to Alberta. (Darryl Dyck/Canadian Press)

Clark is asking for help from the federal government to build new electrical infrastructure that would allow B.C. to sell hydro to Alberta, which is in the midst of a massive shift away from coal-fired energy.

…click on the above link to read the rest of the article…

New mortgage rule might ‘temper’ hot markets, but not for long

February 12, 2016

New mortgage rule might ‘temper’ hot markets, but not for long

Starting Feb. 15, mortgage insurers require 10% down payment on portion of mortgages above $500K

Vancouver and Toronto saw real estate prices, particularly for detached and semi-detached home, continue to rise last year. Most other markets saw only modest increases, or even decreases in some cases.

Beginning next week, many Canadians hoping to buy an abode will need to put more cash down before they can call it home. The extra cost might keep some would-be homeowners from mortgages they can’t really afford, but it’s unlikely to leave any lasting impressions on the country’s most “overheated” real estate markets.

The federal government announced in December that mortgage insurers, including the Canada Mortgage and Housing Corporation — by far the largest in the country — will require a 10 per cent down payment on any portion of a mortgage it insures above $500,000 and up to $999,000.

That’s double the five per cent down they currently ask to insure mortgages worth more than 80 per cent of a home’s value.

“We want to make sure we create an environment that protects the people buying homes so they have sufficient equity in their home,” said Finance Minister Bill Morneau at the time, also noting that “elevated” house prices were the driving force behind the move.

The change will “likely impact a broad spectrum of buyers,” though it will surely be the highest hurdle for those who don’t already have a good bit of equity from one home already.

“The majority of the impact is going to be on first-time homebuyers, particularly first-time buyers in the hotter markets,” says Don Campbell, senior analyst at Real Estate Investment Network, an organization that tracks Canadian housing trends.

…click on the above link to read the rest of the article…

Canada sells off most of its gold reserves

February 11, 2016

Canada sells off most of its gold reserves

Thousands of gold coins being sold, figures show

A one-ounce gold Canadian Maple Leaf coin. The Royal Canadian Mint has produced pure Maple Leaf gold coins in a variety of denominations for more than 40 years.

A one-ounce gold Canadian Maple Leaf coin. The Royal Canadian Mint has produced pure Maple Leaf gold coins in a variety of denominations for more than 40 years. (Ed Betz/Associated Press)

Canada is selling off most of its remaining gold reserves, mainly by selling gold coins, figures from the Bank of Canada and Finance Department show.

The country held just $19 million US worth of gold as of last Monday. Through most of 2015, the country’s gold reserves stood at more than $100 million US.

DOC ZONE: A look at Canada’s diminished gold reserves

Finance Department figures show that Canada sold 41,106 ounces of gold coins in December and another 32,860 ounces of gold coins in January. That left Canada holding 21,929 ounces of gold as of the end of January, worth $24 million US.

With our gold holdings worth $19 million US as of three days ago, that suggests further sales this month, as the price of gold has been rising — up to $1,245 US per ounce today.

The figures don’t say which coins Ottawa has been selling. The Royal Canadian Mint has produced pure Maple Leaf gold coins in a variety of denominations for more than 40 years. They’ve proven to be popular around the world, with more than 25 million troy ounces of coins sold since 1979.

Canada also produced $5 and $10 gold coins in the 1912-1914 period. The mint began to sell off its stash of that vintage gold in 2012.

Canada’s shrinking gold reserves

Canada may be one of the world’s biggest gold-mining nations, but the government of Canada hasn’t been a big buyer of gold coins, or any other gold, for years. That’s not too surprising, since no country now uses a gold standard to value and back its currency.

Year-end data from Finance for each of the last 10 years shows that Canada’s gold hoard has been worth a maximum of $181 million US during that span.

At current levels, our gold holdings amount to less than 0.1 per cent of the $82.6 billion US that Canada has in official international reserves.

The U.S., by comparison, had 8,133 tonnes of gold (261.5 million troy ounces) as of the end of 2015, according to the World Gold Council, worth almost $300 billion US. That amounted to more than 72 per cent of its total foreign reserves.

Back in the 1960, Canada held more than 1,000 tonnes of gold. But it began steadily selling off its hoard, and by 2003, the country had just 3.4 tonnes.

Now, Canada has less than one tonne.

Husky layoffs confirmed as Calgary company continues cost-cutting

February 10, 2016

Husky layoffs confirmed as Calgary company continues cost-cutting

Latest round of cuts hits Alberta’s energy industry as oil prices remain low

More job cuts were announced for Husky Energy on Tuesday as the company looks to weather the current downturn.

More job cuts were announced for Husky Energy on Tuesday as the company looks to weather the current downturn. (CBC)

Jingle mail rears its ugly head in Alberta again

February 8, 2016

Jingle mail rears its ugly head in Alberta again

Federal government worried about Albertans making strategic defaults on their mortgages

This tiny hamlet south of Calgary has 27 homes for sale for more than $1 million.

This tiny hamlet south of Calgary has 27 homes for sale for more than $1 million. (Colin Hall/CBC)

Jingle mail — the act of walking away from an underwater mortgage by mailing your keys back to the bank — is a peculiarity of the Alberta residential market and an act of desperation. However, a combination of high debt and lost jobs make it an option in a province going through a significant economic reckoning.

It’s enough of a concern that the federal government is watching the Alberta market closely. Jingle mail, or strategic defaults, weaken the housing market and increase loan losses among Canada’s banks.

‘People saying that we can’t make a go of it and mail the keys to the bank.’– Don Campbell, Real Estate Investment Network

“We’re slowly starting to see it in Grand Prairie and Fort Mac,” said Don Campbell, senior analyst with the Real Estate Investment Network.

“People saying that we can’t make a go of it and mail the keys to the bank. In the big cities, not so much because the average sale prices haven’t really dropped much, we haven’t seen the pain yet. But Calgary is getting pretty tight.”

Bruce Alger, an insolvency trustee at Grant Thornton in Calgary, said he is dealing with one such case and has heard of more.

“It’s when you see high-end home prices drop 20 per cent below the peak,” said Alger. “I think there are people considering walking away and I’ve talked to one or two myself.”

Why Alberta is different

Alberta is the only Canadian province to broadly offer non-recourse residential mortgages. Those loans with at least a 20 per cent down payment and thus are not insured by the Canada Mortgage and Housing Corporation (CMHC).

…click on the above link to read the rest of the article…

Canada lost 5,700 jobs in January

February 5, 2016

Canada lost 5,700 jobs in January

Alberta had 10,000 fewer jobs, country’s unemployment rate inches up to 7.2%

Canada's jobless rate currently stands at 7.2 per cent after the economy lost 5,700 jobs last month.

Canada’s jobless rate currently stands at 7.2 per cent after the economy lost 5,700 jobs last month. (LM Otero/Associated Press)

That’s worse than what economists were expecting — for the economy to add about 6,000 jobs during the month.

Statistics Canada reported Friday that fewer people were working in Alberta, Manitoba as well as Newfoundland and Labrador in January. Ontario was the lone province with an employment increase.

“Perhaps the greatest thing of note is that regional weakness in the energy dependent areas is being offset by regional strength in Ontario,” Scotiabank economist Derek Holt said in a note after the numbers came out.

Alberta led the downside, with 10,000 fewer jobs.

Ontario added twice that many, with 20,000 new jobs created. In the past 12 months, Alberta has lost 35,000 jobs, while Ontario has added 100,000.

At 7.4 per cent, Alberta’s jobless rate is now at its highest level in almost 20 years, and is also now higher than the national average for the first time since 1988.

“This is a mild disappointment on Canadian job markets but nothing to get terribly excited over given the small magnitude of the decline and the mixed details,” Holt said.

CANADIAN UNEMPLOYMENT IN DECEMBER

Meanwhile In Greece, Familiar Scenes Are Back: General Strike, Molotov Cocktails, Tear Gas

February 4, 2016

Meanwhile In Greece, Familiar Scenes Are Back: General Strike, Molotov Cocktails, Tear Gas

Greece was fixed for a few months, when the so-called “anti-austerity” government of PM Tsipras which came to power just over a year ago did what each on its predecessors did by kicking the can and trading off what little sovereignty Greece has left for promises of more cash from Europe, but it is broken once again.

Earlier today, services across Greece ground to a halt Thursday as workers joined in a massive general strike that cancelled flights, ferries and public transport, shut down schools, courts and pharmacies, and left public hospitals with emergency staff. Even the undertakers are striking.

Thursday’s general strike is the most significant the coalition government of Prime Minister Alexis Tsipras has faced since he initially came to power about a year ago. As an opposition party, Tsipras’ radical left Syriza party had led opposition to pension reforms, but he was forced into a dramatic policy U-turn last year when he faced the stark choice of signing up to a third bailout or the country being kicked out of the eurozone.

The strike comes as the government negotiates with Greece’s international debt inspectors, who returned to Athens this week to review progress on the country’s bailout obligations. The central Athens hotel where the inspectors were staying was heavily guarded by police.

As CBC reports, well over 20,000 supporters of a Communist party-backed union were marching through central Athens, while around 10,000 more people — including about 1,000 lawyers in suits and ties — were gathering for a separate demonstration. A heavy police presence was deployed in the capital, as previous protests have often degenerated into riots.

Unions are angry at pension reforms that are part of Greece’s third international bailout.

…click on the above link to read the rest of the article…

TransCanada announces major contract for Energy East pipeline

February 3, 2016

TransCanada announces major contract for Energy East pipeline

Project is controversial, with Montreal and nearby mayors opposed on environmental grounds

TransCanada's proposed pipeline project would carry 1.1 million barrels a day from Alberta through Quebec to an export terminal in Saint John.

TransCanada’s proposed pipeline project would carry 1.1 million barrels a day from Alberta through Quebec to an export terminal in Saint John. (Canadian Press)

The Calgary-based company planning to build the Energy East pipeline says it has signed a provisional multimillion-dollar order for the construction of 22 modular enclosures along the pipeline route.

TransCanada Corp. officials say their deal with ABB Canada would create 120 direct jobs in Quebec and a further 90 spinoff jobs outside the greater Montreal area.

But there’s a catch: the jobs would materialize only if regulators approve the controversial pipeline project.

The proposal has run into major opposition in Quebec, with the mayors of Montreal and dozens of surrounding municipalities saying the project’s environmental risks outweigh its economic benefits.

The $15.7-billion Energy East pipeline would carry a million barrels a day of western crude as far east as Saint John to serve domestic refineries and international customers.

The project would include the existing TransCanada pipeline as far east as Montreal and would require the construction of 1,600 kilometres of new pipeline, including a long section that would run through Quebec to the south coast of New Brunswick.

Construction possible by 2018

If the federal government and the National Energy Board give their OK, TransCanada has said it could begin construction by 2018. The pipeline would be ready for use by 2020.

…click on the above link to read the rest of the article…

Meridian credit union offers 1-year mortgage at 1.69%

February 2, 2016

Meridian credit union offers 1-year mortgage at 1.69%

Spring mortgage wars start early, as member-owned lender makes new low offer to homebuyers

Meridian credit union just offered a one-year mortgage at 1.69 per cent.

Meridian credit union just offered a one-year mortgage at 1.69 per cent. (Daniel Munoz/Reuters)

“As we are quickly approaching the busy spring home buying season, this is the perfect time for people to evaluate their home buying options by getting a pre-approval now,” the credit union said in a release Tuesday announcing the offer.

The deal is the lowest mortgage rate currently on offer from any lenders, for any term, listed on RateSupermarket.ca. It also comes with a so-called 20/20 prepayment ability, which means the borrower is able to pay off 20 per cent of the principal in any given year. The borrower can also increase the monthly payment up to 20 per cent of the original payment plan each year.

Competitive market

The move is a first strike in the battle for market share in the upcoming spring buying season. The big banks have raised their mortgage rates incrementally over the past 12 months in some cases, even as the Bank of Canada has twice slashed its benchmark rate, and yields in the bond market — where the banks borrow from to get money to loan out to mortgage buyers — are also getting cheaper.

In recent years, mortgage lenders have been keen to cut their rates in the lead-up to the busy spring buying season in order to gain market share.

March 2014: BMO slashes 5-year mortgage rate to under 3%
March 2015: BMO, TD cut mortgage rate to record low 2.79%

Meridian’s announcement came with a potshot against the big banks, who haven’t passed on the full extent of the last two central bank rate cuts to consumers by lowering their consumer rates by the same amount.

…click on the above link to read the rest of the article…

Connected devices quietly mine our data, privacy experts say

February 1, 2016

Connected devices quietly mine our data, privacy experts say

Hackers could use them as stepping stone to another part of your network

The Internet of Things - gadgets we wear and install that are connected to a network - quietly mines information about us and can leave consumers vulnerable to a hacker, cybersecurity experts say.

The Internet of Things – gadgets we wear and install that are connected to a network – quietly mines information about us and can leave consumers vulnerable to a hacker, cybersecurity experts say. (iStock)

The explosion of the so-called Internet of Things — the gadgets we strap to ourselves or install in our homes, offices and cars that are connected and controlled by a network — leaves a data trail for hackers. It can tell them when we’re home, what we’re saying, and about our health.

And attacks on machines, like the Jeep Cherokee that had its brakes and other controls remotely disabled last summer, also shows that these connected devices can be a back door for hackers.

It’s largely happening because manufacturers push technology to what it’s capable of, says Wright, president of Security Perspectives Inc., says. But they aren’t designing with security in mind, he said.

And most of us aren’t buying things with that in mind either.

Voice-activated TVs

It may come as a surprise, then, that if you’re watching TV, it could be listening to you.

“Smart TVs and appliances are sort of communicating either with each other, just monitoring your activity and deciding what you might want to do next,” Wright says. “You can give them commands like the way you do to Siri, but the TV manufacturers haven’t really had a lot to think about in terms of security like Apple.”

…click on the above link to read the rest of the article…

Tag Archives: cbc news

Content

Post categories

Economic Links

Energy/Resource Links

Environmental Links

Geopolitical Links

Liberty Links

News Links

Other Links

Survival Skills

Post Archives by Category

Credit agency TransUnion points to non-mortgage debt defaults in oil-producing provinces

Spring mortgage wars start early, as member-owned lender makes new low offer to homebuyers

Post navigation

Latest Posts