The Tariff Man’s administration is giving investors plenty to consider. Today, the U.S. expanded its list of European tariff targets in an ongoing dispute over aircraft subsidization. The trans-Atlantic hostility is weighing on markets one day after the S&P 500 set new intraday and closing records, thanks in part to U.S. President Donald Trump’s truce with China at the G20 summit. The Open will explore the domino effect for Canada with former Conservative cabinet officials John Baird and Peter Mackay.
DOLLARAMA BUYS INTO LATIN AMERICA
The Montreal-based retailer is buying a 50.1 per cent stake in Dollarcity, a Latin American chain that Dollarama has been building ties with since 2013, for upward of US$95 million. This is all about growth, with Dollarcity aiming to more than triple its store count over the next decade. We’ll address the strategy and any potential execution risk for Dollarama.
GENWORTH SHOPPING CANADA STAKE
Richmond-based Genworth is fed up waiting for Canadian regulators to sign off on its proposed sale to Beijing’s Oceanwide, so it’s aiming to sell its stake in Genworth MI Canada, one of this country’s largest mortgage insurers. The politics of the decision is compelling, as is the question of potential buyers.
OPEC EXTENDING PRODUCTION CURBS
We’re still awaiting final, official approval by the cartel’s allies, but it looks like OPEC’s coordinated output quotas will be in place for at least another nine months. The pact gave crude a temporary boost yesterday, as West Texas Intermediate climbed above US$60 per barrel, but oil is giving back some of those gains this morning.
OTHER NOTABLE STORIES
-Arizona’s governor blasted Nike via Twitter over its decision to yank a shoe launch, calling it a “shameful retreat” and directing a state agency to withdraw incentives that had been earmarked for Nike.
-The Reserve Bank of Australia cut its benchmark interest rate to a record low of on per cent overnight, citing trade and technology disputes.
-Bitcoin is sliding toward US$10,000 per coin as the cryptocurrency extends losses today after plunging 14 per cent on Monday.
-Some notable M&A disclosed yesterday when Canadian markets were closed: Brookfield is buying Genesee & Wyoming for US$6.3 billion
-Bloomberg is reporting Saudi Arabia is preparing to once again ramp up work on a Saudi Aramco IPO.
-B2Gold is selling a basket of assets in Nicaragua to Calibre Mining for US$100 million in cash, stock and debt.
-Hydro One has appointed Tim Hodgson as its new chair, who will take over from Tom Woods, who recently announced his plan to step down at the end of July.
NOTABLE RELEASES/EVENTS
-OPEC+ meeting in Vienna
-Quebec Economy Minister Pierre Fitzgibbon addresses Toronto Board of Trade
Every morning BNN Bloomberg's Managing Editor Noah Zivitz writes a ‘chase note’ to BNN Bloomberg'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.bnnbloomberg.ca/subscribe.
Advertisement