Trade Disputes Dampening the Economy

Trade Disputes Dampening the Economy

The ongoing US-China trade dispute will continue to play a major role in dampening the US economy. According to Benjamin Tal’s recent article, more and more studies are debunking Trump’s claim that Chinese companies are bearing the brunt of the tariffs. While in fact, corporate America and to a lesser extent, consumers have absorbed the bulk of the damage. The biggest issues are: Slowing China’s technological advance Protection of intellectual property A preference that US companies do not have to share their secrets in order to play ball in China More equitable tariff structure A short list, but in truth a long and uphill battle to get the Chinese superpower to play nice in the...

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Variable Rate Update: July 2019

Variable Rate Update: July 2019

There is a general consensus among CDN economists is that we can expect a 0.25% rate drop in the next year, which would bring Prime from 3.95% to 3.70%. The US Federal Reserve (the equivalent to our Bank of Canada) has hinted at 2 x 0.25% rate drops in the coming...