Here are five things you need to know this morning
Bank of Canada weighs oil price impact
The Bank of Canada is widely expected to keep its benchmark interest rate unchanged at 2. 25 % today, as it weighs multiple factors that have clouded the outlook for inflation and the economy. In addition to trade uncertainty, the war in the middle east – and its impact on oil prices and inflation - has added more ambiguity to economic outlooks. We will break the news live on BNN Bloomberg at 9:45 am eastern time, with expert analysis … then bring you Tiff Macklem’s news conference at 10:30 et
The U.S. Federal Reserve will make a policy announcement as well today. The Fed is also expected to keep rates on hold, in what could be Jerome Powell’s final meeting as Fed chair. Despite pressure from U.S. President Trump, stubborn inflation and a resilient labour market leaves little room for interest rate cuts at this time. That announcement comes at 2pm et.
Late yesterday afternoon the federal government’s spring economic update included a lower projected deficit by almost $12 billion. However, the figure is tracking to decline only nominally in the years ahead. The update also included investing plans for billions on training and recruiting skilled trade workers; millions on Canadian athletes and sporting events, and reducing the Canada Pension Plan contribution rate.
Oil rises on new Trump threats
Oil prices moved higher again this morning as traders balanced the United Arab Emirates’ shock departure from OPEC with indications that a near-term conclusion to the Iran war is unlikely. West Texas Intermediate crude rose by more than 3%, topping US$103 per barrel. U.S. President Trump threatened Iran in a social media post, saying the country “better get smart soon!” and accusing Tehran’s leadership of failing to “get their act together.”
Generic Ozempic coming to Canada
For the first time, Health Canada has approved a generic version of Ozempic. This paves the way for cheaper access to popular diabetes and weight-loss drugs. The federal department says it is currently reviewing eight other submissions for generic semaglitude by different companies. Semaglitude is the main ingredient in Ozempic. Launch preparations are underway but a timeframe has not been provided.
