May 11, 2018

Canada

  • Canada is ranked second in tax levies for G7, only trailing France.
    • Canada’s highest rate kicks in at a lower income than do rates in most OECD nations.
    • Canadian taxes collected, overall, are equivalent to 38.6% of GDP vs U.S. 36%, Australia 34.3% (with nearly twice the military and same social benefits).
  • Quebec Debout, a new federal party established by 7 members from Bloc Quebecois, is aimed at promoting Quebec’s interests rather than separatism on the federal level.

Canadian employment data

  • Canada LOST 1,100 jobs in April vs expected gain of 20,000 (full-time added 28,900, part-time lost 30,000). Unemployment rate unchanged at 5.8%.
    • AB lost 1,800 jobs M/M; unemployment rate 6.7% vs 6.3%.
    • QC lost net 13,800 jobs M/M (lost 21,500 full-time); unemployment rate 5.4% vs 5.6%.
    • SK lost 4,900 jobs M/M; unemployment rate 6.3% vs 5.8%.
  • Hourly earnings up 3.6% Y/Y, highest since 2012.

Crude oil

  • According to the Vancouver mayor, the Kinder Morgan pipeline will never be built, as the opposition will only intensify, and he is willing to get arrested for that.
  • Bill C-48 prohibiting tankers carrying crude oil from loading or unloading at ports in northern BC was passed by House of Commons. Bill must now pass Senate to become law.
  • CEO of Eagle Spirit Energy Pipeline project, Calvin Helin, a member of the Lax Kw’alaams First Nation located on the north coast near Prince Rupert, says even a tanker ban cannot stop the pipeline project.
    • His brother, John Helin, the elected leader of the Lax Kw’alaams Band, launched a constitutional challenge in BC Supreme Court in regards to the tanker ban, claiming First Nations were not properly consulted on the ban.
    • A 1,500km pipeline is planned that would carry up to 2 million bpd of medium to heavy crude from Fort McMurray to tide water on the west coast.
    • Their worst case-scenario is that the pipeline would use Alaska as an alternative location for the port terminal, where the support for oil projects runs deep.

Tidbits

  • California became the first state to require solar panels on almost all new homes. The cost of installed solar system would be offset over 30 years, according to the California Energy Commission.
  • The world’s biggest diamond producer, De Beers, tracked its first diamonds all the way from the mine to jewelry retailers using blockchain technology.
  • Apple ditched plans to build US$1 billion data center in Ireland because of delays in the approval process that have stalled the project for more than 3 years.
  • Uber plans to deliver food by drone in San Diego. Delivery is expected in 5-30 minutes.