Nov. 3, 2017

Canada

  • NBF’s housing affordability monitor:
    • An average household buying an average house in Canada would have to save for 58 months for a down payment; Vancouver 354 months, Toronto 114 months, Calgary 33 months, Edmonton 27 months
    • National average for home ownership rate is 68%; Vancouver 64%, Toronto 66%, Calgary 73%, Edmonton 70%
    • National average for condo ownership rate is 9%; Vancouver 22%, Toronto 15%, Calgary 14%, Edmonton 12%
  • Canada added 35,300 jobs: full-time 88,700, part-time decreased by 53,400
    • Unemployment rate increased to 6.3% from 6.2%
  • Alberta added 11,800 jobs: full-time 18,900, part-time decreased by 7,100
    • Unemployment rate was 7.8% in October 2017 vs 7.9% in September
    • Y/Y full-time employment increased by 51,200, and net by 16,500
  • The Petroleum Services Association of Canada (PSAC) forecasts 7,900 wells to be drilled in 2018 vs. 7,500 in 2017 (2018 forecast is 30% below 2014)

Bank of England

  • Bank of England raised interest rates for the first time in a decade to 0.5% from 0.25%
    • Concerns over Britain’s Brexit-dented economy remain, and another increase isn’t imminent
    • Inflation in Britain hits 5.5yr high of 3% in September vs. 2% target
    • The BOE’s forecasts see relatively steady growth over the next 3 years of about 1.7%, still below the pre-crisis average of 2.9%

U.S.

  • The GOP tax bill was introduced on Thursday
    • Trump is focused on the pass-through plan as it has been reported that he “owns hundreds” of limited liability companies
    • Lowering the corporate tax from 35% to 20%; partnerships and “pass-through” businesses from 39.6% to 25%
    • Phasing out the estate tax over time, removing the tax credit for charitable contributions, and disappearance of deductions for out-of-pocket medical expenses

Tidbits

  • Edmonton is home to 76,205 Indigenous residents, which is 5.9% of Edmonton’s population. Calgary 41,645, 3% of their population. Two cities account for 45.6% of Alberta’s total Indigenous residents
  • S. consumer confidence highest in almost 17 years, leading to a record number of Americans planning a vacation in the next 6 months
  • The Ontario Energy Board announced that from November 15 to April 30, utility companies are not allowed to disconnect their residential customers
  • Bitcoin hits a record high of $7,500, increasing value to $120bil, 10 fold increase in 12 months. There are another 1000 or so rival digital currencies, for a total est. value of $200bil