September is always a very busy time of year for us with getting our three girls back to school. We've got one in her last year of Elementary and two in Middle School, so lots going on. We are getting settled in and adjusted to the early morning drop-offs. Please bear with us as we get accustomed to the fall schedule!
While this certainly won't sound like good news, the Canadian Economy slowed down in Q2 of this year1. Normally, this would be bad news and even cause for concern. With how much Inflation we have dealt with since the beginning of 2022, this could actually be looked at as a good thing. The contraction wasn't huge at 0.2% but was far under the expectations that we would show positive growth. This likely means that all of the Interest Rate Hikes we have got are working. It may even signal that they are working a little too well. What we are hoping this means, is that the Bank of Canada will pause here and not continue to raise rates. Fingers crossed.
Please stay in touch and let us know if you'd like to discuss the Canadian Economy in more detail. While it could mean a tough go for Real Estate and the Stock Market if we truly are slowing down, we may finally see your Bond Funds start to do well again in the months ahead!
Bryce Borden
1BNN Bloomberg: - https://www.bnnbloomberg.ca/canada-economy-slows-sharply-supporting-rate-pause-1.1966119