February 2012 Canadian Economic Fundamentals
- Thread starter Ally
- Start date
- Joined
- Mar 24, 2009
- Messages
- 16,743
A time of transformation in housing and transportation
People who earn large cash profits from developing residential and commercial real estate suggest that retiring baby-boomers and young couples with or without children want to live in walkable, mixed-use neighborhoods. `We in real estate are fundamentally re-tooling how we design, plan, regulate and finance to serve this pent-up demand,` says land use developer and strategist Chris Leinberger.
The evidence points to a willingness for many to give up thousands of square feet of living space and open land in exchange for more compact residences close to shopping, dining and entertainment. The trend also suggests that people will pay higher prices for housing in denser communities in exchange for reductions in time, distance and costs associated with traveling by car to reach an employment destination.
Read the full article here.
People who earn large cash profits from developing residential and commercial real estate suggest that retiring baby-boomers and young couples with or without children want to live in walkable, mixed-use neighborhoods. `We in real estate are fundamentally re-tooling how we design, plan, regulate and finance to serve this pent-up demand,` says land use developer and strategist Chris Leinberger.
The evidence points to a willingness for many to give up thousands of square feet of living space and open land in exchange for more compact residences close to shopping, dining and entertainment. The trend also suggests that people will pay higher prices for housing in denser communities in exchange for reductions in time, distance and costs associated with traveling by car to reach an employment destination.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Canadian housing market a balloon, not a bubble: BMO
TORONTO, ONTARIO, Jan 30, 2012 (MARKETWIRE via COMTEX) -- The housing boom in Canada is more likely to cool than correct, according to a new special report released today by BMO's Economics Department.
"With the exception of a few regions, valuations remain only moderately high across the country, especially when low interest rates, demographics, construction costs, land-use regulations and foreign capital inflows are considered," said Sherry Cooper, Chief Economist, BMO Financial Group. "Low interest rates should hold affordability in check for some time, allowing incomes to catch up with higher prices and restore proper valuations."
Balloon, not a bubble
Read the full article here.
TORONTO, ONTARIO, Jan 30, 2012 (MARKETWIRE via COMTEX) -- The housing boom in Canada is more likely to cool than correct, according to a new special report released today by BMO's Economics Department.
"With the exception of a few regions, valuations remain only moderately high across the country, especially when low interest rates, demographics, construction costs, land-use regulations and foreign capital inflows are considered," said Sherry Cooper, Chief Economist, BMO Financial Group. "Low interest rates should hold affordability in check for some time, allowing incomes to catch up with higher prices and restore proper valuations."
Balloon, not a bubble
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Keep jobs in Canada: Build refineries for oil sands
Political codswallop and flak-flavoured red herrings now litter the debate over pipelines to carry bitumen from Alberta's oilsands to markets in the United States and Asia.
Can we please have some mature discussion?
That would involve calm and intelligent cost-benefit analysis based on science and reason rather than emotive sloganeering and clownish "talking points."
Read the full article here.
Political codswallop and flak-flavoured red herrings now litter the debate over pipelines to carry bitumen from Alberta's oilsands to markets in the United States and Asia.
Can we please have some mature discussion?
That would involve calm and intelligent cost-benefit analysis based on science and reason rather than emotive sloganeering and clownish "talking points."
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Connect the housing bubble dots: There could be trouble on CMHC's horizon
A few months ago I heard leading Canadian investor Eric Sprott speak, and he said a very basic thing that struck a chord. He said that you should not be afraid to connect the dots. The dots are usually in front of you, but people don`t often look beyond the single dot.
Today I am going to show six dots that we can all see. When we connect them, the conclusion is that the Canadian Mortgage and Housing Corp. (CMHC) has a realistic chance of putting the Canadian taxpayer at risk ` unless meaningful changes are made.
Read the full article here.
A few months ago I heard leading Canadian investor Eric Sprott speak, and he said a very basic thing that struck a chord. He said that you should not be afraid to connect the dots. The dots are usually in front of you, but people don`t often look beyond the single dot.
Today I am going to show six dots that we can all see. When we connect them, the conclusion is that the Canadian Mortgage and Housing Corp. (CMHC) has a realistic chance of putting the Canadian taxpayer at risk ` unless meaningful changes are made.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Harper must get fired up to deal with oil shortage in Eastern Canada
Smallpox is a scary disease. It kills a fifth of those infected, and scars and blinds many survivors. Canada has been smallpox free since 1962 and the world since 1977.
But, Canada has a smallpox contingency plan. So does Britain. The chances of a smallpox outbreak are remote, but I am happy to pay taxes so Canada can employ people to fight its return. That`s what governments are for.
Canada stands on guard for just about every other imaginable disaster too. Click onto Public Health Canada`s `Get Prepared,` and you find detailed advice and plans on a long list of emergencies. But there is one glaring omission. Canada has no plan to deal with an international oil shortage even though one is almost certain to hit soon.
Just think about Iran closing the strait of Hormuz after a U.S. attack ` 40 per cent of ocean-bound oil shut in at one blow. Canadians, who face special conditions of long cold winters, would be immediately affected. Some could even freeze in the dark.
Read the full article here.
Smallpox is a scary disease. It kills a fifth of those infected, and scars and blinds many survivors. Canada has been smallpox free since 1962 and the world since 1977.
But, Canada has a smallpox contingency plan. So does Britain. The chances of a smallpox outbreak are remote, but I am happy to pay taxes so Canada can employ people to fight its return. That`s what governments are for.
Canada stands on guard for just about every other imaginable disaster too. Click onto Public Health Canada`s `Get Prepared,` and you find detailed advice and plans on a long list of emergencies. But there is one glaring omission. Canada has no plan to deal with an international oil shortage even though one is almost certain to hit soon.
Just think about Iran closing the strait of Hormuz after a U.S. attack ` 40 per cent of ocean-bound oil shut in at one blow. Canadians, who face special conditions of long cold winters, would be immediately affected. Some could even freeze in the dark.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Could North America be a new energy hub?
LONDON ` North America may become the `new Middle East` of energy exports by the next decade, according to Citigroup Inc.
The continent may significantly increase its export capacity because of burgeoning production of oilsands, natural gas, natural-gas liquids and hydrocarbon resources from shale rock and deepwater finds in Canada, the U.S. and Mexico, Edward Morse, the bank`s managing director of commodities research, said in an emailed report.
Read the full article here.
LONDON ` North America may become the `new Middle East` of energy exports by the next decade, according to Citigroup Inc.
The continent may significantly increase its export capacity because of burgeoning production of oilsands, natural gas, natural-gas liquids and hydrocarbon resources from shale rock and deepwater finds in Canada, the U.S. and Mexico, Edward Morse, the bank`s managing director of commodities research, said in an emailed report.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Canada determined to build Gateway pipeline
Harper`s just announced a trip to China, which wants to buy the province`s oil-sands crude if Harper can just get it to market. It`s the latest sign that Canada`s leader is gearing up for battle with anti-Canadian-oil interests. So are recent statements by his Natural Resources Minister, Joe Oliver, that `environmental and other radical groups` are trying to hijack Canadian oil.
This latest pro-Canada campaign started to finally gain momentum in November when U.S. President Barack Obama announced he was going to hold off on a decision about the $7 billion Keystone XL-pipeline headed for Texas. That set off more than a few alarm bells in Ottawa.
Read the full article here.
Harper`s just announced a trip to China, which wants to buy the province`s oil-sands crude if Harper can just get it to market. It`s the latest sign that Canada`s leader is gearing up for battle with anti-Canadian-oil interests. So are recent statements by his Natural Resources Minister, Joe Oliver, that `environmental and other radical groups` are trying to hijack Canadian oil.
This latest pro-Canada campaign started to finally gain momentum in November when U.S. President Barack Obama announced he was going to hold off on a decision about the $7 billion Keystone XL-pipeline headed for Texas. That set off more than a few alarm bells in Ottawa.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
As jobless rate soars, Europe rethinks austerity moves
Only a few months ago, aggressive austerity programs were being touted as the saviour of the debt-strapped euro zone. Now they`re being blamed for the soaring unemployment rates that are helping to propel many of the euro-zone countries back into recession.
The jobless rate in the 17-country euro zone hit 10.4 per cent in December, the European Union`s statistical agency, Eurostat, said Tuesday. That`s the highest level since 1998, just before the launch of the common currency. About 16.5 million people are out of work in the euro zone, up more than 750,000 over one year. The region`s Mediterranean frontier showed the biggest jobless increase.
Read the full article here.
Only a few months ago, aggressive austerity programs were being touted as the saviour of the debt-strapped euro zone. Now they`re being blamed for the soaring unemployment rates that are helping to propel many of the euro-zone countries back into recession.
The jobless rate in the 17-country euro zone hit 10.4 per cent in December, the European Union`s statistical agency, Eurostat, said Tuesday. That`s the highest level since 1998, just before the launch of the common currency. About 16.5 million people are out of work in the euro zone, up more than 750,000 over one year. The region`s Mediterranean frontier showed the biggest jobless increase.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Pet welcome mat: Follow common sense-advice to find willing landlord
Pet owners can boost their chances of finding pet-friendly housing if they follow the suggestions outlined in a recent government guide.
According to a December 2011 Canada Mortgage and Housing Corp. report, Manitoba has one of the lowest vacancy rates -- one per cent -- in the country. It's not a secret that finding a pet-friendly rental unit is even more difficult. Discussions between landlords, government and pet experts have yielded two reports meant to help both landlords and tenants. The goal is to increase pet owner acceptance in rentals.
Read the full article here.
Pet owners can boost their chances of finding pet-friendly housing if they follow the suggestions outlined in a recent government guide.
According to a December 2011 Canada Mortgage and Housing Corp. report, Manitoba has one of the lowest vacancy rates -- one per cent -- in the country. It's not a secret that finding a pet-friendly rental unit is even more difficult. Discussions between landlords, government and pet experts have yielded two reports meant to help both landlords and tenants. The goal is to increase pet owner acceptance in rentals.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Federal government urged to support rental housing market
OTTAWA ` Municipalities across Canada are calling on the federal government to support the construction and renovation of rental housing.
The Federation of Canadian Municipalities said Tuesday that such action would help provide more affordable housing options, which have been hurt by a lack of new rental construction in recent years.
It would also create construction jobs to replace those lost in the recent slowdown of the new-housing market, the group said.
Read the full article here.
OTTAWA ` Municipalities across Canada are calling on the federal government to support the construction and renovation of rental housing.
The Federation of Canadian Municipalities said Tuesday that such action would help provide more affordable housing options, which have been hurt by a lack of new rental construction in recent years.
It would also create construction jobs to replace those lost in the recent slowdown of the new-housing market, the group said.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Rental markets: Canadian mayors warn Ottawa of drastic rental housing shortage
Canada`s mayors have sounded the alarm about a drastic shortage of rental housing across the country.
One-third of Canadians are renters, yet apartment construction has accounted for just 10 per cent of all new residential building over the last 15 years, according to a new report released by the Federation of Canadian Municipalities (FCM) Tuesday.
At the same time, apartment buildings have been razed or converted to condos at such a frenetic pace, the total number of rental units actually decreased across the country by about 18,000 units between 2000 and 2010, the umbrella group for Canada`s municipalities said during a news conference in Ottawa.
Read the full article here.
Canada`s mayors have sounded the alarm about a drastic shortage of rental housing across the country.
One-third of Canadians are renters, yet apartment construction has accounted for just 10 per cent of all new residential building over the last 15 years, according to a new report released by the Federation of Canadian Municipalities (FCM) Tuesday.
At the same time, apartment buildings have been razed or converted to condos at such a frenetic pace, the total number of rental units actually decreased across the country by about 18,000 units between 2000 and 2010, the umbrella group for Canada`s municipalities said during a news conference in Ottawa.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
GDP report a reminder Canada is not immune
The November GDP number was worse than analysts expected, dropping 0.1 per cent. The prognosticators` consensus had called for a gain of 0.2 per cent. But they hadn`t reckoned on a sharp drop in oil and natural gas production of 2.5 per cent.
Even leaving aside the energy sector, there is little in the latest soundings to console us in what is fast becoming a winter of economic discontent.
Read the full article here.
The November GDP number was worse than analysts expected, dropping 0.1 per cent. The prognosticators` consensus had called for a gain of 0.2 per cent. But they hadn`t reckoned on a sharp drop in oil and natural gas production of 2.5 per cent.
Even leaving aside the energy sector, there is little in the latest soundings to console us in what is fast becoming a winter of economic discontent.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Why Northern Gateway is unnecessary
The federal government is holding public hearings on the controversial Northern Gateway project, which would ship crude oil from Alberta to a port on the west coast. But David Hughes, President of Global Sustainability, tells BNN why the project is unnecessary to support Alberta`s growing oil sector.
Watch the video here.
The federal government is holding public hearings on the controversial Northern Gateway project, which would ship crude oil from Alberta to a port on the west coast. But David Hughes, President of Global Sustainability, tells BNN why the project is unnecessary to support Alberta`s growing oil sector.
Watch the video here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Canadian economy growing less reliant on U.S.: TD
The Canadian economy appears to be on a long-term trend toward less dependence on the United States, according to a new study by TD Economics.
The study, released Wednesday, found that Canada`s economic reliance on the U.S. in its share of exports and GDP has dropped steadily over the last decade.
Read the full article here.
The Canadian economy appears to be on a long-term trend toward less dependence on the United States, according to a new study by TD Economics.
The study, released Wednesday, found that Canada`s economic reliance on the U.S. in its share of exports and GDP has dropped steadily over the last decade.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Canada needs more tools to cut household debt: FSB
OTTAWA - Canada should consider using new tools to control the high level of household debt, which is one of two big threats to the country`s financial system, the G20`s Financial Stability Board (FSB) said in a report on Monday.
The FSB, chaired by Bank of Canada Governor Mark Carney, has been tasked by the Group of 20 top world economies to implement new banking rules aimed at preventing more bailouts such as those spurred by the 2008 financial crisis.
The report, a review by Canada`s peer countries of its progress in implementing such reforms, gives the country good marks for its resilient banks, which withstood the financial crisis, and a regulatory system that provides lessons for others.
Read the full article here.
OTTAWA - Canada should consider using new tools to control the high level of household debt, which is one of two big threats to the country`s financial system, the G20`s Financial Stability Board (FSB) said in a report on Monday.
The FSB, chaired by Bank of Canada Governor Mark Carney, has been tasked by the Group of 20 top world economies to implement new banking rules aimed at preventing more bailouts such as those spurred by the 2008 financial crisis.
The report, a review by Canada`s peer countries of its progress in implementing such reforms, gives the country good marks for its resilient banks, which withstood the financial crisis, and a regulatory system that provides lessons for others.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Limit on CMHC mortgages could slow market
OTTAWA - A federal limit on the amount of loans Canada Mortgage and Housing Corp. is allowed to insure could lead to stricter lending conditions and a cooling of the housing market, TD Bank economist Sonya Gulati said Tuesday.
"It may serve to tighten the housing market," Gulati said.
CMHC had insured $541 billion in loans at Sept. 30, compared with $501 billion a year earlier and $514 billion as of Dec. 31, 2010. The limit was raised to $600 billion in total outstanding insured amounts from $450 billion in 2008.
Read the full article here.
OTTAWA - A federal limit on the amount of loans Canada Mortgage and Housing Corp. is allowed to insure could lead to stricter lending conditions and a cooling of the housing market, TD Bank economist Sonya Gulati said Tuesday.
"It may serve to tighten the housing market," Gulati said.
CMHC had insured $541 billion in loans at Sept. 30, compared with $501 billion a year earlier and $514 billion as of Dec. 31, 2010. The limit was raised to $600 billion in total outstanding insured amounts from $450 billion in 2008.
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Is mortgage industry running out of money?
The Canadian mortgage industry has long been lauded for its stable lending criteria and ability to hold the fort during the worldwide recession.
Through the wonderful blue sky of 2.99-per-cent 5-year fixed money, however, is a storm of international and national constraints that may cause a slowdown in mortgage and housing markets.
We have all heard of Europe's troubles. In a way, Canadians have been able to benefit from this as mounds of cash left European bond markets to park in North American bonds, which are considered lower risk. This has caused Canadian and American bond yields to plunge to levels hovering below inflation (5-year bond yields are around 1.3 per cent right now).
Read the full article here.
The Canadian mortgage industry has long been lauded for its stable lending criteria and ability to hold the fort during the worldwide recession.
Through the wonderful blue sky of 2.99-per-cent 5-year fixed money, however, is a storm of international and national constraints that may cause a slowdown in mortgage and housing markets.
We have all heard of Europe's troubles. In a way, Canadians have been able to benefit from this as mounds of cash left European bond markets to park in North American bonds, which are considered lower risk. This has caused Canadian and American bond yields to plunge to levels hovering below inflation (5-year bond yields are around 1.3 per cent right now).
Read the full article here.
- Joined
- Mar 24, 2009
- Messages
- 16,743
Why job growth in the U.S. is outpacing Canada
The release of Canadian and U.S. job numbers suggests Canada's economy has stalled, while its American counterpart seems to be gaining momentum.
According to figures released on Friday, the Canadian economy added only 2,300 jobs in January. In comparison, the U.S. added 243,000 jobs, the most since April and May 2010.
One reason for the disparity is simply that the U.S., hit harder by the economic downturn, has more ground to make up than Canada.
Read the full article here.
The release of Canadian and U.S. job numbers suggests Canada's economy has stalled, while its American counterpart seems to be gaining momentum.
According to figures released on Friday, the Canadian economy added only 2,300 jobs in January. In comparison, the U.S. added 243,000 jobs, the most since April and May 2010.
One reason for the disparity is simply that the U.S., hit harder by the economic downturn, has more ground to make up than Canada.
Read the full article here.