Weekly Digest – 19 July 2022
Welcome back to our Weekly Digest. Read on for the latest updates and some ideas to help us all move forward.
Ottawa proposes specific cap for oil and gas sector
The federal government is proposing an industry-specific cap-and-trade or a modified carbon pricing system for the oil and gas sector. It’s meant to set a ceiling for emissions, driving them down almost 40 per cent by the end of this decade.
Suncor announces deal with activist investor
Suncor Energy Inc. has reached an agreement with activist investor Elliott Investment Management LP that will see the appointment of three new independent directors. It will also consider the sale of its Petro-Canada gas stations.
Bank of Canada’s surprise rate hike and what it means for you
Last week, the Bank of Canada raised its benchmark interest rate by the largest amount in more than 20 years, sharply increasing the cost of borrowing in an attempt to rein in runaway inflation. CBC breaks down what that may mean for you here.
Inflation expected to rise over 8%
Speaking of runaway inflation, the Bank of Canada also said this week that inflation is expected to top 8% very soon. However, experts don’t believe it’s here to stay, with many anticipating rates closer to 4% by the end of the year.
Oil tops $100/barrel
Oil prices gained over 4.6% on Monday, pushing oil over $100/barrel. The market attempted to digest developments in the Middle East due to President Biden’s visit to Saudi Arabia as the US dollar weakened slightly.
Canadian homes are now selling at a discount
Some houses are selling for more than $250,000 below asking price. The plunge is seen as a long-overdue correction of a real estate market that has long operated beyond any reasonable notion of economic fundamentals.
Musk asks for more time
Elon Musk asked the Delaware Court of Chancery to reject Twitter’s motion for a four-day expedited trial this September. He says he needs extensive time to analyse Twitter’s spam-account data and wants the trial delayed until at least February 2023.
Forecasts for the upcoming CPI data release
Statistics Canada will release Consumer Price Index (CPI) data on Wednesday, July 20. Forecasts by economists and researchers of six major banks regarding the upcoming Canadian inflation data can be found here.
Google CEO plans to recession-proof his employees
Alphabet CEO Sundar Pichai proposes that instead of cutting staff to cut costs, companies should leverage staff so they become more productive and more valuable to the company. An outline of his plan can be found here.
Sign of the times: sleeping pod for rent
A sleeping pod is being advertised for $625/month in Metro Vancouver. The unit is 60 square feet and amenities include a shared kitchen, bathroom, and laundry.
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