The Daily Chase: Canada's economy flat lined at end of 2021; Imperial Oil hikes dividend
BNN Bloomberg
Canada’s economy flat lined in the final month of 2021 as Omicron took hold.
Canada’s economy flat lined in the final month of 2021 as Omicron took hold. Statistics Canada is estimating gross domestic product was “essentially unchanged” in December after the economy expanded 0.6 per in November (which exceeded expectations). Of course, November and December both feel like ancient history, particularly with several provinces recently loosening public health restrictions.
MARKET WATCH
After yesterday’s tech-powered gains, the mood has moderated overnight and futures are pointing to a flat open this morning ahead of Big Tech and Big Oil earnings. On the latter, some analysts and investors are barely containing their excitement about the cash gusher the sector is enjoying. “The free cash flow story is long and strong,” Desjardins Analyst Justin Bouchard told clients in a report yesterday as he raised his price targets for almost every name on his coverage list. Indeed, this morning Imperial Oil announced its quarterly dividend is being hiked 26 per cent to 34 cents per share as cash flow soared in the fourth quarter.
ANOTHER CHAPTER IN THE SOFTWOOD SAGA
The U.S. Commerce Department’s International Trade Administration is proposing a bit of relief for all but one of this country’s softwood producers. In a preliminary assessment released late yesterday, the ITA cut import tariffs for everyone other than West Fraser Timber (which faces a combined countervailing and anti-dumping duty of 13.09 per cent, compared to the existing rate of 11.14 per cent). Canfor, meanwhile, would see the levies on its shipments plunge to 6.75 per cent from 19.54 per cent.
YOUR MONEY MONTH
