HEADLINES
Carney Says Majority-Government Status Reflects Trust in Economic Plan
Prime Minister Mark Carney said that Monday night's victories in three special elections, vaulting his administration to majority status from a minority, reflect the trust the public has in the Liberal government's plan to rebuild the country's economy.
"We accept that support with humility, determination and a clear understanding of what this moment demands," Carney said Tuesday morning in a statement posted on social media, after securing a majority government.
Results tabulated in the three polls, intended to fill vacancies in the federal legislature, show the Liberals winning by sizable margins in two Toronto districts, and emerging victorious in north Montreal in a closely-fought race. Those three electoral victories, combined with five defections to the Liberal Party caucus over the past six months, give the Carney-led Liberals 174 of the 343 seats in the national legislature.
Carney Secures Majority Mandate After Electoral Wins, Political Defections
MDA Space Could Benefit From Amazon's Globalstar Acquisition
The $10.8 billion Amazon-Globalstar deal likely improves the strategic outlook for MDA Space.
MDA has a $1.1 billion contract with Globalstar as its prime contractor on the low Earth orbit constellation, which Globalstar operates and Apple uses for its own satellite connection. With Amazon now in the picture, Globalstar's satellite infrastructure could become more flexible, creating a more open environment for third-party technology providers, since Amazon still needs to differentiate its satellite ambitions and close the gap with SpaceX.
Desjardins analyst Benoit Poirier thought the positioning increases the likelihood that Amazon will seek external expertise, which could create new collaboration opportunities for MDA as Amazon builds out its network.
MDA shares settled 7.2% higher at C$46.17.
Canada to Temporarily Cut Fuel Taxes Amid Energy-Price Surge
Canada said it would temporarily reduce fuel taxes as it tries to ease the financial squeeze households face from higher energy prices triggered by conflict in the Middle East.
Prime Minister Mark Carney said the tax reductions would take effect April 20 and run until Labor Day. Gasoline prices have surged by over 30% since the start of military attacks by the U.S. and Israel, which have effectively frozen oil-tanker traffic in the Strait of Hormuz.
Canada joins its Group-of-Seven ally Germany in delivering financial relief this week to households facing sticker shock stemming from the war in Iran. Germany's coalition government agreed to a two-month energy tax cut, at a cost of $1.9 billion.
Canadians Are Cutting Back on Spending But Pockets of Resilience Remain
Lower-income Canadians are showing less willingness to spend in April as consumer confidence weakens across the board, weighed down by the conflict in Iran and higher fuel prices, according to a quarterly consumer survey from Stifel.
The firm said spending intentions have deteriorated sequentially versus January, led "mostly from female and low-income respondents," who are now posting some of the lowest intention levels seen in recent years.
Even so, a few categories remain resilient. Stifel noted that pet food, dollar stores and toys continue to show strength, while apparel and big-ticket purchases such as powersports equipment and furniture, are seeing a more noticeable pullback.
Cannara Biotech Shares Slide as Revenue Growth Misses Views
Cannara Biotech shares fell sharply after the company reported lower revenue growth in the second quarter as retailers bought less after stocking up over the holiday period.
Shares fell 6.3% to C$1.92.
For the three months ended Feb. 28, the Montreal-based cannabis producer reported net revenue of C$27.2 million, up from C$26.6 million a year earlier. Analysts were expecting a rise to C$31.7 million, according to FactSet.
Net income fell to C$1.7 million from C$3.3 million, which on a per-share basis was a decline to C$0.02 from C$0.04.
AGF Management Raises Dividend, Though Quarterly Earnings Fall
AGF Management bumped up its quarterly dividend 8% after logging increased cash flows in the latest quarter but a drop in earnings.
The asset manager reported first-quarter net income of C$18 million, or C$0.27 a share, down from C$30.9 million, or C$0.46 a share, a year earlier. On an adjusted basis, per-share earnings came in at C$0.30 for the three months to Feb. 28, missing the C$0.50 analysts polled by FactSet expected.
The Toronto-based company's revenue from management, advisory and administration fees increased to C$131 million from C$122.8 million the year before.
TALKING POINT
Mortgage Lending Among Biggest Risks to Canada's Financial System, Regulator Says
By Robb M. Stewart
OTTAWA--Real-estate secured lending is among the greatest risks faced by Canada's financial system as housing and mortgage pressures have continued to build in parts of the country, according to an assessment by the country's financial regulator.
Global uncertainty also has the potential to affect confidence in funding markets, and the speed at which a liquidity event could unfold remains a considerable concern despite stability in the cost and availability of funding, the Office of the Superintendent of Financial Institutions said Tuesday. Additionally, the regulator cautioned risks outside the traditional banking system have expanded.
Financial stress among mortgage borrowers is on the rise, and the Office of the Superintendent in its annual risk outlook forecast a higher incidence of residential mortgage loan arrears or defaults over the next two years.
Canada's housing market remains muted as the economy struggles with trade uncertainty and tariffs, volatility in commodity prices, job worries, and sluggish consumer confidence. These pressures have led to a rise in home listings and a drop in home sales and prices, particularly in Toronto and Vancouver, British Columbia.
Large numbers of home owners are set to renew mortgages, many of which were taken out during the low interest rate period of 2021 and 2022. The regulator said about 3.1 million, or 52% of total mortgages, will be renewing by the end of 2027. Already, delinquency levels are up across the board, with heightened levels in certain segments, such as variable-rate mortgages with fixed payments, and at smaller lenders focused on "business-for-self" borrowers, it said.
Still, while delinquency rates are set to rise, the Office of the Superintendent said it doesn't expect the level of losses in real-estate secured lending to affect capital materials at the vast majority of lenders thanks to existing allowances and strong earnings.
The regulator, an independent government agency responsible for prudential regulation and the supervision of the country's banks, in its assessment noted that global markets are volatile as investors shift between exuberance and sharp selloffs. Canada's economy continues to contend with a negative geopolitical backdrop and trade environment, and growth has been subdued and the labor market soft, particularly in regions most reliant on trade, it said.
Geopolitical pressures and the potential knock-on effects to financial markets continue to pose a threat to liquidity in the year ahead, the regulator said. The dependence of Canada's financial institutions on foreign-currency funding makes them susceptible to shocks in global markets, while a possible shock to the domestic economy also could increase funding costs and reduce access.
It said that if institutions face a loss of confidence among market participants and retail depositors, liquidity conditions could deteriorate rapidly.
The regulator said it would focus this year on resilience in period of stress, including reviewing contingency funding and recovery plans at banks. It plans to assess how institutions active internationally consider geopolitical shocks in their plans, and also will focus on the ability of institutions to report liquidity and funding positions under short timelines, including cross-border exposures.
The Office of the Superintendent said it additionally is sharpening its focus on corporate lending activities that in its view are key contributors to non-bank financial institution-related risk.
Canada's banks have increased the use of non-bank institutions, a broad group that includes hedge funds and private capital firms, to provide credit protection on their lending portfolios. But the regulator said these non-banks may have reduced capacity to provide this protection during times of stress and any reduction in credit production could reduce banks' ability to lend to the their core clients, increase credit risk and weight on capital levels.
The regulator said it is conducting supervisory reviews on exposure to non-bank financial institutions, risk rating approaches and governance processes. It plans to strengthen its research and analytics to better understand the relationships and market dependencies between non-banks and the institutions it regulates.
Write to Robb M. Stewart at [robb.stewart@wsj.com]
Expected Major Events for Wednesday
04:30/JPN: Feb Revised Retail Sales
06:45/FRA: Mar CPI
11:00/US: 04/10 MBA Weekly Mortgage Applications Survey
12:30/CAN: Feb Wholesale trade
12:30/US: Mar Import & Export Price Indexes
12:30/CAN: Feb Monthly Survey of Manufacturing
12:30/US: Apr Empire State Manufacturing Survey
14:00/US: Apr NAHB Housing Market Index
14:30/US: 04/10 EIA Weekly Petroleum Status Report
18:00/US: U.S. Federal Reserve Beige Book
20:00/US: Feb Treasury International Capital Data
All times in GMT. Powered by Onclusive and Dow Jones.
Expected Earnings for Wednesday
Ames National Corp $(ATLO)$ is expected to report for 1Q.
Arrive AI Inc (ARAI) is expected to report for 4Q.
BV Financial Inc (BVFL) is expected to report for 1Q.
BancFirst Corp $(BANF)$ is expected to report $1.76 for 1Q.
$Bank of America Corp(BAC-N)$ (BAC) is expected to report $1.01 for 1Q.
Bar Harbor Bankshares (BHB) is expected to report $0.86 for 1Q.
BayCom Corp $(BCML)$ is expected to report $0.60 for 1Q.
Cenntro Inc $(CENN)$ is expected to report for 4Q.
Community Trust Bancorp Inc $(CTBI)$ is expected to report $1.39 for 1Q.
Equus Total Return Inc (EQS) is expected to report for 4Q.
First Horizon Corp $(FHN)$ is expected to report $0.49 for 1Q.
Great Southern Bancorp Inc $(GSBC)$ is expected to report $1.29 for 1Q.
Home BancShares Inc (HOMB) is expected to report $0.59 for 1Q.
JB Hunt Transport Services Inc $(JBHT)$ is expected to report $1.45 for 1Q.
KS Bancorp Inc (KSBI) is expected to report for 1Q.
Kinder Morgan Inc $(KMI)$ is expected to report $0.40 for 1Q.
M&T Bank Corp $(MTB)$ is expected to report $4.02 for 1Q.
MIND Technology Inc $(MIND)$ is expected to report $-0.01 for 4Q.
Marten Transport Ltd $(MRTN)$ is expected to report $0.02 for 1Q.
Morgan Stanley $(MS)$ is expected to report $3.00 for 1Q.
PNC Financial Services Group Inc $(PNC)$ is expected to report $3.93 for 1Q.
Plumas Bancorp (PLBC) is expected to report $1.26 for 1Q.
Progressive Corp $(PGR)$ is expected to report.
SL Green Realty Corp (SLG) is expected to report $-0.76 for 1Q.
TRX Gold Corp (TRX,TRX.T) is expected to report for 2Q.
Vince Holding Corp $(VNCE)$ is expected to report for 4Q.
Powered by Factset and Dow Jones.
We offer an enhanced version of this briefing that is optimized for viewing on mobile devices and sent directly to your email inbox. If you would like to sign up, please go to https://newsplus.wsj.com/subscriptions.
This article is a text version of a Wall Street Journal newsletter published earlier today.
(END) Dow Jones Newswires
April 14, 2026 16:30 ET (20:30 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
Comments