Apr. 3, 2020

COVID-19 UPDATE

  • Nearly 500,000 Canadians are deferring their mortgage payments.
    • 10% of the mortgages held by the 6 largest banks have deferred mortgage payments, with an average monthly payment of $1,326
    • Represents $663 million per month (nearly $2 billion per quarter)
  • Federal government announced an agreement with Amazon to use its distribution network to send medical supplies to provinces.
  • Mastercard and Visa raised tap limits to $250 so consumers need to touch payment systems less.
  • The biggest chokepoint in the global food supply chain is trucking. As a result, clients are starting to supply water and food to the drivers as restaurants are closed.
  • Canada admits about 60,000 seasonal agricultural and other temporary workers each year to work on fruit, vegetable, and other farms. COVID-19 is making it extremely difficult to get workers here.
  • The federal government is sending $100 million to food banks and other organizations in Canada that distribute food to those in need.
  • Canadian military was deployed to northern Quebec today to help remote communities prepare to respond to the pandemic.

OIL OVERSUPPLY AS GLOBAL DEMAND CONTINUES TO DECLINE

  • OPEC has invited all major oil producers, including Russia, US and Canada, to a virtual meeting on Monday, April 6th to discuss how to reduce the oversupply in the oil market.
    • Decreased demand has created a global oversupply of 18 to 20 million barrels of oil per day
  • Iraq, OPEC’s 2nd largest producer, is planning on increasing production by about 200,000 barrels a day bringing its’ total to an average 4.8 million barrels /day.
  • Canada’s oil production has dropped 950,000 barrels/day in 2020.
  • US plans to lease out space for energy companies to store oil in the Strategic Petroleum Reserve.
  • Global oilfield spending is expected to decline 21% this year to $211 billion (lowest since 2005).
  • China has increased US crude purchases as they ramp up refining after the sharp cuts in February.
  • Alberta Premier Jason Kenney estimates that the Canadian energy industry needs $20 billion in aid.
  • Province of Alberta has invested USD $1.1 billion into TC Energy’s Keystone XL pipeline through a preferred share offering.

CYBERSECURITY – KEEPING SAFE ONLINE

  • With so many people online, cyber-criminals are continually developing new ways to part us from our money. Here are a few tips to reduce your risk of becoming a victim:
    • Always encrypt files when you are sending personal information. Click here to see ways to encrypt your files. How to encrypt documents from a computer or mobile device
    • Do not click on an email unless you are expecting it
    • Always hover your mouse over a link to see if the address is legitimate or not!
    • Check received emails carefully for any spelling errors or sender addresses you do not recognize. If you are not sure, call the sender directly to check
    • Never provide your social insurance number or other personal information on the internet. CRA and financial institutions will never ask you for this information over the internet, by email, text or phone.
    • Support charities directly through their website and not through received emails or texts