One of Canada’s most influential investors is speaking out on the merits of fiscal prudence, while touting this country’s outlook as federal party leaders head into the home stretch of the election campaign. Outgoing Ontario Teachers’ Pension Plan CEO Ron Mock told BNN Bloomberg he understands “a little bit” of deficit spending in countercyclical situations like a recession, but urged the feds “to be a little bit careful” when times are good. Of course, this comes as Canada faces years of deficits, regardless of who’s elected on Monday. Despite that, Mock said he’s “very long on Canada.” Watch for the interview today on BNN Bloomberg and BNNBloomberg.ca
GM EMPLOYEES BACK TO WORK IN OSHAWA
General Motors workers in the United States are still on strike, pending ratification of a tentative agreement to end the month-old walkout; but front-line employees on this side of the border are gearing up for whenever business returns to usual. BNN Bloomberg’s Paige Ellis is on location in Oshawa, Ont., where she’s learned workers are being called back today. Watch for her updates this morning and check out a Bloomberg feature on GM’s deep roots in that city here.
CHINA COOLS
Only for China is 6.0 per cent economic growth a disappointment. Such is the case as GDP slowed in Q3 from a 6.2 per cent annualized rate in the second quarter. We’ll assess whether the third-quarter slowdown will add some urgency to finalize the “phase one” trade agreement with the United States.
OTHER NOTABLE STORIES
-Corus Entertainment sank in early trading after the media company reported its fourth-quarter results. Adjusted profit was in-line with estimates, but down sharply from the previous year. Nonetheless, the company is touting a bump in TV ad revenue and progress in chipping away at its debt burden. Watch for our interview with CEO Doug Murphy on The Real Economy.
-Gildan Activewear is a stock to watch today after the T-shirt maker warned on third-quarter sales and profit, and also took down its full-year earnings forecast.
-We’ll also keep an eye on RioCan after the REIT announced a bought-deal financing of 7.7 million units priced at $25.75 apiece. RioCan closed at $26.63 yesterday. Proceeds will go toward paying down debt.
-Coca-Cola is on our radar in New York as its shares rise in pre-market trading. Third-quarter revenue narrowly exceeded the average estimate at US$9.5 billion. Volume growth was meager in all the major product categories.
-And today’s the day Qantas Airways is testing the limits of non-stop commercial air travel, with a 20-hour flight from New York to Sydney. Read all about it here and watch for highlights from our Bloomberg partners’ interview with CEO Alan Joyce.
NOTABLE RELEASES/EVENTS
-Notable earnings: Corus Entertainment, Coca-Cola, Schlumberger, American Express
-Notable data: Teranet/National Bank Canadian home price index; China GDP, retail sales and industrial production
-Bank of Canada Deputy Governor Timothy Lane participates in "Future of Money" panel at Institute of International Finance in Washington, D.C.
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.
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