First Of The Big Banks Reports
The first of Canada’s big six banks reports tomorrow. Scotiabank (TSX:BNS) kicks of the string of fourth-quarter earnings for the country’s largest banking institutions on Tuesday. It could set the tone for how the country’s major lenders see the economic climate as we head towards the end of the calendar year with trade tensions continuing to weigh heavily.
Earlier this fall several executives with the top banks predicted slower economic growth on the horizon.
Next week, the five other banks will report, with the Bank of Montreal (TSX:BMO) set to unveil its latest earnings Dec. 3, the Royal Bank of Canada (TSX:RY) and the National Bank of Canada (TSX:NA) on Dec. 4, while the Toronto Dominion Bank (TSX:TD) and the Canadian Imperial Bank Of Commerce (TSX:CM) rounding out the week on Dec. 5.
GDP Figures Released Friday
And just before the other five big banks report, Statistics Canada on Friday will release its latest figures on Canada’s gross domestic product GDP for the third quarter. The numbers will cast the size of the country’s economy for September.
GDP growth in August was 0.1% and steady in July, which was lower than what analysts had expected.
The announcement of the figures will also send the new Trudeau government a signal of what it could be facing in the coming months.
Sabia Speaks In Montreal
All eyes will be on Michael Sabia on Thursday.
The head of the Caisse de dépôt et placement du Québec will be speaking at a luncheon at the Palais des Congrès in Montreal. The head of the second-largest pension fund in the country always draws a big crowd, but this one is attracting extra attention, as Sabia earlier this month announced he is stepping down as CEO.
Sabia has been at the helm of the publically-owned Caisse since 2009. Prior to that he was CEO of BCE Inc. He is leaving the Caisse to become the head of the Munk School of Global Affairs and Public Policy at the University of Toronto.
CN Strike Taking Toll
The ongoing strike at Canadian National Railway Co (TSX:CNR) continues to take a toll on the country’s economy. As the labour disruption heads into is second week, the biggest headlines have been dominated by the lack of deliveries of propane, which is causing a serious shortage for farmers trying to dry their crops. Grain producers, who were delayed in planting earlier this year by a wet spring, have seen their harvest window shrink due to early snows. The propane shortage, especially in Quebec, could see the entire harvest threatened.
The strike is also being felt in other sectors dependent on trade. According to estimates by the Toronto-Dominion Bank, if the CN labour strife continues into December, it could cost the Canadian economy up to $3.1 billion.