Canadas top central banker says there will be lasting economic damage due to the Covid-19 pandemic with a “prolonged and bumpy” path to recovery.
In his first speech as governor, Tiff Macklem says the central bank expects to see growth in the third quarter of this year as people are called back to work and households resume some of their normal activities as restrictions ease.
But he warns that Canadians shouldn’t expect the short and sharp economic bounce-back expected over the coming months to last.
The combination of uneven reopenings across provinces and industries, the unknown course of consumer confidence, and unemployment rates will “likely inflict some lasting damage to demand and supply,” Macklem says in a speech Monday.
He said ongoing physical distancing rules may mean workplaces can’t be as productive as they once were, adding that many services will remain difficult to deliver.
Not everybody’s job will come back.
Another wonderful day in Captain Vancouvers’ namesake city!
It’s time for another open topic thread, we’ll just share one link for now:
–Five numbers to douse high hopes for the housing market.
So what are you seeing out there? Post your news links, thoughts and anecdotes in the comments below and have a beautiful weekend!
It’s the end of another work week and everything is fine!
So what are you seeing out there? Looking at any of those new listings available on the market? Checking out stocks? Or just heading to Florida and breathing in deeply the fresh summer air?
Post your news links, thoughts and anecdotes in the comments below and have a fantastic weekend!
The good news: Mortgage rates have never been lower.
The less good news for some:
“The new rules to qualify for mortgage insurance from Canada Mortgage and Housing Corp. (CMHC) are expected to cut the maximum purchase price for borrowers of insured mortgages by up to 12 per cent, more than offsetting the drop in mortgage rates for those who can’t come up with a 20-per-cent down payment.”
Southseacompany pointed out these latest stats.
According to the Real Estate Board of Greater Vancouver the typical Vancouver home lost $7,600 in value last month.
Sales are where the big drops are being seen though, they dropped more than 30% from the previous month and more than 40% from the previous year.
Read more here.