Noah Zivitz

Managing Editor, BNN Bloomberg

Archive

We’ve got a pair of beats this morning in the latest wave of bank earnings. TD Bank was powered by a profit surge south of the border, while Canadian banking delivered far more muted growth. Royal Bank of Canada, meanwhile, was lifted by gains in capital markets and its core banking business. Notably, RBC’s Canadian mortgage book grew in the latest quarter. We have an interview this afternoon with RBC CFO Rod Bolger and BNN Bloomberg's Amanda Lang will be sitting down TD CEO Bharat Masrani. Watch for that full interview tomorrow. 

WCS IN A BEAR MARKET

After marching steadily higher for four months or so, Western Canada Select oil is back in a bear market – down more than 20 per cent from the recent peak on April 9. We’re chasing market intel on sudden change in fortune.

STOCKS SLIDE

Virtually wherever you look, equities are under pressure this morning. Every major European market is trading lower as elections get underway and amid some weak data overnight. U.S. futures are pointing to early losses as trade tension lingers; our Bloomberg partners note one researcher is expecting the U.S.-China clash to drag on until 2035. And in the currency world, the British pound is trading lower against its counterparts as speculation mounts that Theresa May could be on the verge of resigning.

FAA WON’T RUSH 737 MAX INTO SERVICE

WestJet CEO Ed Sims has routinely told us in recent interviews there’s a clear path to seeing the Boeing 737 Max return to service in the second half of this year. The head of the U.S. Federal Aviation Administration is sounding much less confident. “If it takes a year to find everything we need to give us confidence to lift the order, then so be it. I’m not tied to a timeline,” Dan Elwell is quoted as saying yesterday. The FAA is meeting with other regulators later today in Texas.   

IN CONVERSATION WITH NEW BRUNSWICK’S PREMIER

He’s a member of the coalition against the federal carbon tax; we’ll hear directly from Blaine Higgs this morning in The Real Economy. Might also get his thoughts on the ill-fated Energy East pipeline and whether he thinks the project will ever be re-tabled.

OTHER NOTABLE STORIES

-Bloomberg is reporting Amazon is working on a wearable product that reads emotions and “could be able to advise the wearer how to interact more effectively with others.”

-As speculated yesterday: Natura has agreed to buy Avon Products in an all-stock deal worth almost US$2 billion. Avon shares were extending gains in pre-market trading Thursday.

-Shares of L Brands are surging in the pre-market thanks to double-digit same-store sales growth in its Bath & Body Works business.

NOTABLE RELEASES/EVENTS

-Notable earnings: Royal Bank of Canada, Toronto-Dominion Bank, Lions Gate Entertainment, Best Buy

-Notable data: Canadian wholesale trade, StatsCan EI report, U.S. new home sales

-9:00 a.m. ET: International Monetary Fund publishes blog on impact of U.S.-China trade tension

-11:00 a.m. ET: U.S. President Donald Trump meets with Energy Secretary Rick Perry in Oval Office

-1:15 p.m. ET: Foreign Affairs Minister Chrystia Freeland meets with Rio Tinto workers in Jonquiere, Quebec (plus avail)

-3:15 p.m. ET: U.S. President Trump delivers remarks at White House on supporting farmers and ranchers

-U.S. Federal Aviation Authority hosts meeting with regulators in Fort Worth re. 737 Max

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.