HEADLINES
Canada Shows Improved Bottom Line on Economic Resilience, Higher Energy Prices
Better-than-anticipated growth and a bump from higher crude oil prices have delivered an improved fiscal outlook for Canada's Liberal government, which intends to pump the windfall back into the economy.
Some of the unexpected windfall will be used to recruit and train up to 100,000 workers required to help build the infrastructure and develop the resource projects that Prime Minister Mark Carney says is necessary for Canada to withstand the fallout from President Trump's protectionist trade policy.
The Carney-led government delivered an economic and fiscal update, and as telegraphed, officials delivered an improvement in Ottawa's bottom line totaling more than C$60 billion over a five-year period. This results in an expected budget deficit of C$60.6 billion in the fiscal year just ended on March 31, versus the previous forecast for a C$78.3 billion deficit.
Barrick Picks a New York Primary Listing for Planned IPO of North American Gold Assets
Barrick Mining plans to list its prized North American gold assets in New York as part of an initial public offering set to be completed before the end of the year.
The mining company said it has identified what it believes is the optimal structure for a separate listing of the assets, including a primary listing in New York and a secondary listing in Toronto.
Not disclosed are details such as where the company that will house the North American operations will be based and domiciled, and the percentage of the assets that Barrick plans to float beyond what the company affirmed will be a minority interest.
Celestica Sees Longer Lead-Time for Key Parts as Demand Rises
Celestica is contending with longer waits as it works to secure key advanced components amid an overstretched supply chain.
The Toronto-based electronics manufacturer and supply-chain services company, which makes hardware for communications, cloud, aerospace, defense, industrial and automotive customers, is facing shortages which Chief Executive Robert Mionis said have worsened in recent months.
"We are experiencing more component shortages now than 90 days ago," Mionis said on an earnings call, pointing to rising demand and suppliers struggling to keep up.
Celestica shares fell 14.5% to C$493.22.
Celestica Share Drop Likely Profit-Taking Despite Big Outlook Upgrade
TFI International Shares Rise on Earnings Beat, Improving Outlook For Freight
TFI International's shares rose after the transportation and logistics company reported better-than-expected results in the first quarter thanks to strategic investments.
Shares rose 4.9% to C$197.81.
Total revenue fell slightly to $1.95 billion from $1.96 billion, coming in better than analysts expected, with consensus expectations projecting a steeper decline to $1.89 billion.
Net income fell to $43.3 million from $56 million, or 53 cents a share compared with 66 cents, the company reported late on Monday.
TFI International Sees Turning Point in Trucking Transport Operations
Calian Group Secures C$200 Million in Defense Contracts Amid Ottawa's Procurement Push
Calian Group has secured over C$200 million in new or renewed contracts as demand from Canada's defense industry continues to push ahead.
The company's shares rose 4.1% to C$72.49.
The Canadian provider of mission-critical technology, training, health and IT services said that the new and renewed awards span a wide range of defense needs, including expanded military training programs using next-generation simulation environments and health-services contracts to support a growing Canadian Armed Forces roster.
Calian, a company with a market capitalization of around C$800 million, serves sectors such as defense, space, healthcare and critical infrastructure.
Edison Partners Backs Fuel Saving-Technology Developer CleanDesign
Edison Partners led a $20 million growth investment in CleanDesign, a Canadian provider of software-governed battery systems used by oil-and-gas producers and miners to reduce on-site generator fuel consumption.
Toronto-based CleanDesign makes trailer-size, 55,000-pound or heavier units containing equipment-such as batteries, computers and transformers-that control power supplies at mines and oil-and-gas drilling sites. The systems automatically govern diesel generators to reduce fuel demand and enable users to cut related carbon emissions by as much as 20%, the company said.
Telus, L-Spark Launch National AI Accelerator to Boost Canadian Startup Growth
Canadian telco Telus and L-Spark have launched a national accelerator to give Canadian startups access to the domestic artificial intelligence supercomputer, aiming to speed the development of new AI technologies in the country.
The two companies said that the sovereign AI accelerator aims to support a new wave of Canadian innovation by accelerating the go-to-market strategies and investment readiness of select businesses.
L-Spark is a Canadian startup accelerator that works with early-stage and growth-stage tech companies to scale up. The first cohort includes startups in retail, healthcare, robotics, enterprise software and industrial automation.
VersaBank Renews Share Buyback Program
VersaBank renewed a buyback program for up to roughly 9.1% of its public float of shares.
The online business-to-business bank, which is federally chartered in both Canada and the U.S., said Tuesday the Toronto Stock Exchange approved plans for a normal course issuer bid to buy for cancellation as many as 2 million shares through April 29, 2027.
Under VersaBank's previous normal course issuer, 573,251 shares purchased on available Canadian and U.S. exchanges at a volume-weighted average price of $11.49 a share.
TALKING POINT
Bank of Canada to Hold Rates Steady While War Worries Brew
By Paul Vieira
OTTAWA--The Bank of Canada likely will keep its main interest rate unchanged Wednesday, but there is growing doubt that officials can hold rates steady the longer energy prices remain elevated, economists surveyed by The Wall Street Journal say.
The conflict in the Middle East has effectively closed oil-tanker traffic in the Strait of Hormuz, leading to a sizable jump in crude oil prices and what drivers pay to fill up their tanks. The energy-price shock has sharply lifted near-term inflation expectations, according to a recent Bank of Canada survey. Higher inflation expectations influence price setting by firms and spending plans by households, so the central bank is keep to those expectations close to its 2% target.
Iran presented on Monday a new offer to stop its attacks on ships in the Strait of Hormuz in exchange for a full end of the war--including the U.S. abandoning its naval blockade of Iranian ports, the Journal reported.
All 13 economists surveyed last week by the Journal predicted no change in the Bank of Canada's policy rate, which sits presently at 2.25%. Inflation did accelerate in March, by 2.4%, but that fell short of market expectations for a 2.6% climb.
"While upside risks to inflation remain, it may be too soon to determine whether the increase in inflation expectations will persist beyond the initial outbreak of the war," said Shelly Kaushik, economist at BMO Capital Markets. Analysts added that March data indicate inflation excluding energy and food rose 1.9% in March, and core prices--which strip out volatile items--decelerated during the month.
Bank of Canada Gov. Tiff Macklem has said officials do not expect higher energy prices to rapidly pass through and lift prices for other goods and services. He added officials do have a delicate balancing act, to refrain from raising rates prematurely and further slow down a struggling economy, while avoiding waiting too long to act before higher inflation becomes entrenched.
The survey of economists indicated that nine analysts believe Canada's central bank won't raise rates this year, although some provided caveats to their prediction. Three economists suggested a rate increase in the second half of this year is possible, depending on events in the Middle East. Only one economist has penciled in rate increases.
Charles St-Arnaud, chief economist at Servus Credit Union, said a relatively quick resolution to the U.S.-Iran conflict would lead to an easing in oil prices, allowing the Bank of Canada to remain on hold. Conversely, "a prolonged period with oil close to $100 a barrel would lead to increased inflationary pressures that are likely to become more sustained. In that case, we could expect the bank to hike, and it could be as early as July."
RSM chief economist Joe Brusuelas said his official forecast, of no change this year in the Bank of Canada's main interest rate, is contingent on the war in Iran ending by mid-year. "Should the war continue and destruction of production and refining capacity around the Persian Gulf region recommence, then we would need to revise that forecast," he said.
Also in the background is the state of talks to renew the existing U.S.-Mexico-Canada trade treaty, or USMCA. The bulk of Canadian exports to the U.S. have avoided tariffs because they comply with USMCA. However, U.S.-Canada talks on USMCA renewal have stalled, while negotiations with Mexico are at an advanced stage. Trade-related criticisms and threats between U.S. and Canadian officials have intensified this month, and some trade watchers fear Canadian officials, led by Prime Minister Mark Carney, are preparing for negotiations to fail.
(MORE TO FOLLOW) Dow Jones Newswires
April 28, 2026 16:33 ET (20:33 GMT)
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