Time for your cheat sheet on this week\u2019s top stories.<\/p>\n
Canadian Real Estate<\/p>\n
Canadian Long-Term Unemployment At \u201990s Levels, 6 Months To Find A Job<\/a><\/p>\n Canadians may want to put aside more savings, just in case of job market disruption. Nearly 1.5 million people were unemployed in January, while job vacancies continue to grind lower. The combination has pushed the average duration of unemployment to 22.7 weeks (about 6 months). And that\u2019s before accounting for the more than 1 in 4 jobless Canadians now considered long-term unemployed, making this the worst non-pandemic job market since the 1990s. As policymakers urge workforce reductions and dramatic economic restructuring, downside risks are building\u2014not easing.\u00a0<\/p>\n Continue Reading\u2026<\/a><\/p>\n Canada\u2019s Productivity Crisis Is The Norm, AI Gains Are Overhyped: BMO<\/a><\/p>\n Two years ago, Bank of Canada (BoC) Deputy Governor Carolyn Rogers called Canada\u2019s productivity slump a national crisis. This week, she doubled down\u2014urging businesses to embrace AI, likening its potential to the internet\u2019s productivity boom. It sounds intuitive, but the evidence disagrees, according to BMO Capital Markets, which countered with data showing productivity has been declining for decades, suggesting weak growth is the norm. The internet-era bump faded as quickly as it appeared, and BMO sees AI doing the same, but at a smaller scale.<\/p>\n Continue Reading\u2026<\/a><\/p>\n The Bank of Canada\u2019s Economy: Things Get Worse, Then You Die<\/a><\/p>\n BoC Governor Tiff Macklem declared the old economy dead, explaining the slowdown is structural\u2014not cyclical. Structural shifts are slow and painful, often taking decades to play out, which he openly acknowledged. He further noted that U.S. trade is over, urging firms to re-route supply chains while pitching them on AI investments to boost productivity. The pitch appears to be an attempt to use fear as a policy tool, hoping to stimulate investments without further rate cuts. Unfortunately, it was most likely counterproductive, as it only reinforces the BoC research showing businesses are pulling back investment due to uncertainty. A new industrial revolution and rewiring the old economy are multi-decade bets that most people won\u2019t live to see the outcome.<\/p>\n Continue Reading\u2026<\/a><\/p>\n Nova Scotia Launches Predatory 2% Down Payment Scheme As Prices Plunge<\/a><\/p>\n The Government of Nova Scotia wants to \u201chelp\u201d first-time buyers by guaranteeing mortgages with as little as 2% down. After prices surged 84.5% in just two years, it may sound supportive. But the timing matters: the program arrives as demand dries up and provincial prices abruptly post the largest drop in Canada. Weak sales and falling demand are on a collision course with a wave of investor-owned supply under construction. That makes the policy look less like affordability relief and more like a liquidity backstop, transferring potential losses from investors to end users.<\/p>\n Continue Reading\u2026<\/a><\/p>\n Canadian Real Estate Supply Keeps Prices On A \u201cDowntrend\u201d: RBC<\/a><\/p>\n RBC warns Canada\u2019s real estate downturn isn\u2019t over, with supply continuing to outpace demand. The bank points to a sharp decline in sales in major markets like Toronto and Vancouver, where prices have resumed a downturn. Calgary is holding up better, but faces the same problem of a large pipeline of homes already under construction. With the typical busy spring market approaching, the signals point to further softening\u2014not firming.\u00a0<\/p>\n Continue Reading\u2026<\/a><\/p>\n Toronto Real Estate<\/p>\n