One, two, three, four, I declare a trade war
Canada's $16.6-billion worth of retaliatory tariffs take effect Sunday on dozens of U.S. products – from strawberry jam to screws and nails – making good on threats of a tariff war after the U.S. implemented levies on Canada's steel and aluminum. Investors are watching for Trump's next move while consumers are watching whether U.S. suppliers raise prices.
The Canadian Transportation Agency holds a public consultation on air passenger protection in Ottawa on Wednesday. The event is part of a larger effort to draft rules and set minimum standards of treatment in order to establish a bill of rights for air travellers, including how best to deal with tarmac delays, bumped seats and lost luggage.
The last puzzle piece
Statistics Canada releases the labour force survey for June on Friday. The previous month's survey showed that the economy lost 7,500 jobs, while the unemployment rate held steady at 5.8 per cent for the fourth consecutive month. It's the last piece of major economic data for the Bank of Canada to review before its next interest rate announcement mid-month.
Participants in Ontario's cap-and-trade system will be looking to Ontario's new premier for answers next week. Tuesday will be the first day of business for Premier Doug Ford's Progressive Conservative government, which has vowed to immediately dismantle cap-and-trade, leaving billions of dollars in carbon credits in limbo.
Dog days of summer
Financial markets enter the summer doldrums next week and trading volumes are expected to be low given holidays for both Canadian and U.S. indices on Monday and Wednesday, respectively. Stock markets have had a bumpy ride this year. Toronto's S&P/TSX Composite Index fell 8.5 per cent from an all-time high at the beginning of the year, only to recover and post a new record high of over 16,400 points in June.