Economy

Regulators spur formalization of contingent capital

The recent credit crunch has had a devastating impact on banks throughout the world, much to the chagrin of regulators entrusted with ensuring that bankers’ exuberance in good times didn’t lead them to over-reach. The response of governments has been unprecedented, with direct investments and guarantees to stave off financial collapse. There is broad agreement […]

By James Hymas |January 1, 2010

7 min read

Commodity rally to drive provincial recoveries

The chorus is growing louder, proclaiming recession ended in the third quarter of 2009. The latest voice in that choir is Scotiabank, where economists are predicting a muted and geographically uneven recovery. The bank spreads the credit around for ending the economic slump, pointing to consumer spending, government stimulus and a recovery in the credit […]

By Steven Lamb |December 23, 2009

2 min read

Are Canadians building debt bubble?

While Canadians are in better financial shape than majority of the developed world, we are using low rates to quickly ratchet up debt. And economists say it’s not necessarily a bad thing. Overextended household balance sheets – especially in the U.S. and U.K. – were ultimately the root cause of the global financial meltdown. Canadians […]

By Mark Noble |December 18, 2009

4 min read

Recession’s over! Now what?

The Great Recession of 2008-2009 is officially over, according to economists from three of Canada’s larger financial institutions. But charting a course in 2010 could prove difficult, as central banks balance inflation risks against choking off growth. “The global economy and recovery remain fraught with risk,” notes TD’s senior vice-president and chief economist, Don Drummond. […]

By Steven Lamb |December 17, 2009

4 min read