Euro slips after Germany’s Merkel wins fourth term
The euro is slipping against the U.S. dollar as Chancellor Angela Merkel won a fourth term with a weakened hand amid the surprise rise of the far-right Alternative for Germany party. While Merkel now sets about coalition talks, there’s renewed concern that anti-EU sentiment is moving into the bloc’s core.
ALIBABA OPENS THE GATE TO CHINA
Alibaba will court Canadian businesses today at its Gateway event in Toronto. This is all about opening the door for this country's companies to tap the potential of the world's second-largest economy. BNN's Jon Erlichman will report live from Gateway throughout the day, and watch for his exclusive interview with Alibaba Founder Jack Ma during BDPM. Watch live coverage of the event starting at 8:30 a.m. ET on BNN.ca.
CENOVUS SELLING SUFFIELD ASSETS
As anticipated, Cenovus has struck an agreement to sell its Suffield assets, in a deal worth up to $548 million. It’s the second major divestiture in less than a month as the company aims to chip away at the debt it took on to finance the $17.7-billion purchase of Conoco’s oil sands assets in early 2017. Outgoing CEO Brian Ferguson says Cenovus is “right on track”, with the sale process for two other baskets of assets “proceeding as expected.” Good time to point out Cenovus shares have shot up 30 per cent so far this month.
As for who’s buying the Suffield assets, it’s not the previously-speculated Torxen Resources. Instead, it’s International Petroleum Corporation – part of the Lundin empire.
TRUMP VERSUS NFL
Remarkable pictures yesterday as billionaire owners and millionaire players demonstrated unity after U.S. President Donald Trump’s broadside against players who’ve been kneeling during the national anthem. We can leave the politicization of patriotism to others, but there are some legitimate business considerations here as Trump’s call for fans to boycott games raises important marketing considerations.
NAFTA TALKS CONTINUE
The third round of NAFTA renegotiations continues today in Ottawa. In a sign this could be a longer slog than previously hoped, CTV is reporting the Americans have been slow to present their detailed positions on the most contentious topics.
AMERICAN EXECS FRET END OF NAFTA
A new survey of American businesses operating in Canada shows 38 per cent of respondents rank NAFTA changes as their biggest concern. Perhaps even more interesting, 54 per cent say Canada’s business investment environment is positive, which runs somewhat counter to a common narrative we hear amid the current uproar over Bill Morneau’s tax reform proposals and other legislative/regulatory uncertainty.
TOTAL SA IN NO RUSH TO LEAVE CANADA
Total SA isn't in a rush to join the foreign exodus from Canada. CEO Patrick Pouyanne said on a conference call today he doesn't want "to lose value, so my view is that we need to wait to have higher prices before we sell the assets. We are not in a hurry." Total owns 29.2 per cent of the Fort Hills oil sands project.
OTHER NOTABLE STORIES:
-Unifor Local 88 has presented what it calls a “very comprehensive package” to GM in an attempt to end a strike at the automaker’s CAMI plant in Ingersoll, Ontario
-Trump unveiled a round of travel restrictions yesterday applying to eight countries, including North Korea and Venezuela
-8:30 a.m. ET: Justin Trudeau delivers remarks at Alibaba’s Gateway Canada event in Toronto (link to agenda: http://gateway17.com/agenda/)
-9:00 a.m. ET: ECB President Mario Draghi addresses European Parliament
-12:00 p.m. ET: Justin Trudeau holds media avail in Toronto
-2:20 p.m. ET: Calgary Flames CEO Ken King delivers speech at Calgary Chamber luncheon
Every morning BNN's Managing Editor Noah Zivitz writes a ‘chase note’ to BNN's editorial staff listing the stories and events that will be in the spotlight that day. Have it delivered to your inbox before the trading day begins by heading to www.bnn.ca/subscribe.