Here are five things you need to know this morning
Reaction to Carney’s first budget: Prime Minister Mark Carney’s first-ever federal budget focuses on driving economic growth and making the country more self-sufficient, while projecting a deficit that is billions of dollars larger than forecasted a year ago. Business-focused measures include allowing firms to expense research and development costs immediately to save on corporate taxes, and moves to foster competition in the financial sector, pledging to tackle fees, make it easier for consumers to switch banks and reduce regulatory burdens for smaller lenders. There were also signals that the government plans to eventually lift the controversial cap on emissions from the oil and gas sector and doubling down instead on its industrial carbon pricing system to rein in on pollution. We will have analysis from experts throughout the day on BNN Bloomberg.
Strike hits Air Canada results: Air Canada logged lower profit and revenue in the third quarter as the flight attendant strike in August dragged down its earnings. Revenue fell five per cent, as about 10,000 flight attendants went on strike. In response, Air Canada grounded all flights and withdrew financial targets. The carrier has also narrowed its profit forecast for the year.
Cameco Q3 revenue misses: Shares of Cameco came under pressure in the pre-market. The Saskatoon-based uranium producer posted revenue that missed expectations and was down 15 per cent since the same time last year. The company says the revenue drop was a result of lower uranium sales while the price of uranium went up only slightly. However, it expects uranium prices to continue increasing, boosted by America’s effort to revamp its nuclear sector. Last week Cameco and Brookfield Asset Management announced a US$80 billion agreement with the U.S. government to accelerate the deployment of nuclear reactors.
Maple Leaf revenue, profit rises: Maple Leaf Foods posted gains in profit and revenue in its third quarter. The results reflect the packaged meat and plant-based protein company’s poultry, prepared foods and pork business. After the quarter ended, Maple Leaf completed the spinoff of its pork category creating a new company called Canadian Packers. This new, independent company separates Maple Leaf’s pork operations from its consumer-packaged foods division and now trades on the TSX.
Toronto home sales sag: Home sales in Canada’s largest real estate market fell in October as uncertainty about Canada’s trade war with the U.S. caused both buyers and sellers to pull back. The number of homes that changed hands in Toronto dipped 2.3 per cent in October from the previous month, while new listings dropped nearly two per cent, according to seasonally adjusted data from the Toronto Regional Real Estate Board. Month-over-month, the average selling price was down 1.4 per cent. Tuesday data for the Greater Vancouver Area showed a drop in home sales of 14.3 per cent in October, compared to the same month last year.
