Good morning. As more and more Canadians turn to artificial intelligence to answer questions about their lives, we wanted to know how reliable AI advice on personal finance would be. We asked human advisers to tell us what AI got right \u2013 and wrong. That\u2019s in focus today, along with a check up on tariff price predictions and, yes, Ontario public service employees are indeed being asked to go back to the office five days a week. <\/p>\n
Up firstIn the news<\/p>\n
Health: Eli Lilly hikes price of Mounjaro<\/a> weight-loss drug in Canada and Britain after pressure from the Trump administration to lower U.S. prices, but raise them elsewhere<\/p>\n Artificial Intelligence: Cohere raises US$500-million<\/a> and hires McGill University computer-science professor and former Meta expert Joelle Pineau<\/p>\n Analysis: The Mobilicity case offers Ottawa a cautionary tale<\/a> about the risks of politicizing regulation, writes Rita Trichur <\/p>\n On our radarThis morning\u2019s Canadian manufacturing and wholesale trade reports will offer an early read on how U.S. tariffs and slowing American factory activity are affecting Canada\u2019s tightly linked industrial sector<\/a>. Canadian home sales rose<\/a> 3.8 per cent in July for the fourth consecutive month this year, as house prices remain steady. Sales were overwhelmingly led by the Greater Toronto Area, where home sale transactions, while still historically low, have rebounded a cumulative 35.5 per cent since March, CREA said.Many face a catch-22<\/a> today: wait for Air Canada to cancel and qualify for a refund or book another flight now and risk paying for two trips. A 72-hour strike notice was issued on Wednesday. Open this photo in gallery:<\/a><\/p>\n Zahra Khozema and her husband were photographed at home together. They hope to retire in Cairo one day and use ChatGPT to help with their finances to achieve this goal.Ali Elmoudi\/The Globe and Mail<\/p>\n In focusCan we rely on AI for advice on our finances?<\/p>\n Talking about money is awkward. It\u2019s the one thing you can always count on. <\/p>\n I know this better than most. My literal job (which is a personal finance reporter, for those who don\u2019t know) is talking to people all day long about their money. <\/p>\n Most of the time, people are uncomfortable. And I get it. There\u2019s a plethora of situations that can make talking about dollars and zeros uncomfy.<\/p>\n If you\u2019re earning more than your friends, you risk sounding like you\u2019re bragging. If you\u2019re earning less, you might feel embarrassed or worry about being judged. Either way, it\u2019s rarely something we bring up.<\/p>\n So, instead of turning to our friends or family for money advice, more people are turning to artificial intelligence. Think of it like a money therapist (which people are also turning to AI<\/a> for). It listens without interrupting, follows your lead and, best of all, feels private (emphasis on feels).<\/p>\n All those goodies are drawing more people in. A 2024 Bank of Montreal report<\/a> found that one-third of Canadians are already using AI tools to help manage their finances, everything from setting household budgets to brushing up on financial literacy.<\/p>\n Take Zahra Khozema, a 29-year-old freelancer. After a layoff left her unsure about whether she\u2019ll ever be able to retire, she turned to ChatGPT<\/a>. <\/p>\n The chatbot (which is known to be very validating, maybe borderline coddling) told her that she\u2019s in a good place with her finances and even appealed to her emotional side. It painted a retirement fantasy: Her, decades from now, living in a peaceful Nile-side neighbourhood in Egypt with her husband.<\/p>\n Open this photo in gallery:<\/a><\/p>\n Zahra Khozema asked ChatGPT to generate a picture of her in retirement, and it produced this image.Supplied<\/p>\n Khozema knows AI isn\u2019t perfect. She still appreciated that it validated her feelings and gave her a starting point when she felt lost. However, it still gave her a shaky piece of advice to use a home as a retirement asset without a stable pathway to buy a home.<\/p>\n For people who can\u2019t afford to sit down with a licensed financial planner, or don\u2019t have much financial literacy, AI can be an entry point. <\/p>\n But how good is its advice, really? The Globe wanted to test it ourselves \u2013 asking ChatGPT common money questions such as, \u201cShould I rent or buy a home?\u201d \u2013 then ran the answers by certified financial advisers<\/a>. <\/p>\n The verdict? ChatGPT gives decent starting points, but it\u2019s way too generalized. Personal finance isn\u2019t a one-size-fits-all game. Your debt, goals, income and even personality change the equation. <\/p>\n And the lack of details from a chatbot compared with a real life adviser might risk leaving you with surprise outcomes, if you were to follow AI advice to a T.<\/p>\n As a personal finance reporter, I know the struggle well of trying to share information that is helpful but not too generalized. My job is to write for a broad audience, but I know every \u201cright\u201d answer comes with a long list of \u201cit depends.\u201d<\/p>\n The bottom line is, AI is a good conversation starter for your money life. Just don\u2019t treat it like gospel. Think of it as the warm-up before the real workout \u2013 useful, but not the whole plan. And it doesn\u2019t replace doing the actual work necessary to achieve your goals.<\/p>\n ChartedTariff price predictions <\/p>\n When the trade war first started, Canadians braced for prices on many goods to soar. Some things have undoubtedly gotten more expensive, but not all the price spikes have been as high as anticipated, while some prices have held steady or fallen. Consumer Affairs reporter Mariya Postelnyak breaks it down<\/a>.<\/p>\n BookmarkedOn our reading list<\/p>\n Heart break: Ontario orders public servants back to office five days<\/a> a week starting in 2026.<\/p>\n Heartening: Simons is a rare success story<\/a> during tough times for department stores.<\/p>\n Heart skips a beat: Statistics Canada erroneously publishes<\/a> market-sensitive data early, then takes it down.<\/p>\n Morning update<\/p>\n