Tag Archives: Bank of Canada

Roundup: Two percent ahead of schedule

Posted on by

The big news yesterday was that according to August data, headline inflation returned to the Bank of Canada’s target of 2.0 percent, well ahead of schedule. It’ll bounce around for a while as the economy continues to rebalance, but it’s a sign that the Bank has essentially stuck the soft-landing. And before you repeat the Andrew Scheer line of “People are going to food banks, you call that a soft landing?” the answer is that the alternative was a recession, so yeah, this definitely beats that.

Things are still uneven, and yes, housing costs continue to drive much of the current inflation, and gasoline prices are a big reason why it fell as much as it did in August, so those will bounce around some more. Food is still running a little bit above headline, but nowhere near what it was before because supply chains have evened out, prices have stabilized from supply shocks (driven by climate change and the invasion of Ukraine), but seasonal price changes are also having an impact. (More from Trevor Tombe in this thread).

https://twitter.com/trevortombe/status/1836026950281744434

Meanwhile, I have seen zero discussion about how everything that Pierre Poilievre has claimed was causing inflation—deficit spending, the carbon levy, and so on—has all been proven false, to say nothing about the comparison between us and the US in terms of deficits and economic performance. Oh, but then they may have to actually point out that he’s lying, and they don’t want to do that. Not to mention, this is Canadian journalism, and we don’t like to actually talk to economists to understand what’s going on, we only need them to assist in both-sidesing bullshit talking points from the parties that paint a picture of doom (because there is “no such thing as a good-news economic story”). Is it any wonder Canadians have such a distorted view of the economy?

Ukraine Dispatch

Russians have once again targeted energy faculties in Sumy region, while shelling in Zaporizhzhia, has killed two people. Russians claim that they have captured the town of Ukrainsk in the eastern Donbas region.

Continue reading →

Roundup: Singh’s unfinished business

Posted on by

As you probably saw, the big news yesterday was Jagmeet Singh melodramatically ripping up the supply-and-confidence agreement with the Liberals—well, except he didn’t really, but he posted a social media video and hid from reporters the whole day, and locked down all of their MPs from speaking…but then put up the party president, who didn’t know what she was talking about, and basically humiliated herself on national television, so that was…something. I’ve already expounded upon the events in a column here, but I will reiterate that the procedural warfare we’re about to see is going to be absolutely ridiculous, and Singh not only doesn’t understand jurisdiction, but also how Parliament works. He’s doomed the very things he claims to care about for the sake of hollow performance.

https://twitter.com/journo_dale/status/1831387238279819412

Here’s a look at what was accomplished from the agreements in the deal and what wasn’t. Pharmacare hasn’t crossed the finish line, so I’m not sure why both the Liberal and NDP are talking like it has (especially because no province has signed on yet). There was also an unfinished commitment to a safe long-term care legislation, which has only completed consultations, but again, this is pretty much entirely within provincial jurisdiction, so I’m not sure how meaningful any federal legislation is going to really be on it. As well, the Elections Act changes promised in the agreement are still being debated. More than anything, the fact that the NDP pulled out of the deal nearly a year early when the Liberals were living up to their side of it looks an awful lot like Singh and the NDP are operating in bad faith, and it doesn’t speak highly for anyone trusting them in any future agreements.

In pundit reaction, Althia Raj defends Singh’s actions, saying it was necessary for the NDP to rebrand themselves as change candidates in the next election. The legendary Don Newman points out that Singh traded policy wins for political power, and that this move will actually cement Trudeau’s leadership since it will be deemed too risky to hold a leadership contest now. Paul Wells notes that Trudeau’s tactic appears to be just staying the course and saying or doing nothing as everything happens around him, so we’ll see how that works for him as the fall rolls along. And as always, the Beaverton got it right.

Ukraine Dispatch

The overnight missile and drone attack Wednesday killed four people in Lviv, while more energy facilities were targeted in nine regions. Here is a lengthy piece about the first F-16 pilot killed in the war. Ukraine’s foreign minister has also resigned in advance of an expected government shake-up.

Continue reading →

Roundup: Emergency summer clip-harvesting

Posted on by

In need of new video clips for their socials, the Conservatives have decided that they need to call an “emergency” committee meeting about the $9 million purchase of a new condo for the Canadian consul general in New York, because if anything is guaranteed gold for them on social media, it’s clips that will be edited in a way to drive anger and outrage, because that’s their whole game. And if you thought that either of the other two opposition parties were going to be grown-up enough to see through this ploy, well, you’d be wrong, because they also signed right up to put on this dog-and-pony show.

Because Parliament is no longer a place for serious discussions, the Bloc decided they needed to sign onto this farce because $9 million is more than some people earn in a lifetime, which I’m not sure how that’s relevant to the price of real estate in New York, but they apparently want to make a point. The NDP, quite predictably, wants to make this about affordability for all Canadians and not just some political appointees, which again, is irrelevant to the discussion because it’s an asset and not something that said consul general is keeping when his appointment comes to an end. Because nobody can grasp that this is both the going price of real estate in New York (which will increase in value), that the existing residence is being sold to cover these costs, that the new residence will be a net savings, but most importantly, that we need a place for the consul general to host politicians, diplomats, and business leaders, and that place needs to reflect well on Canada, which a bedsit in the outer Bronx is not going to do.

The other really stupid aspect of this is that they plan to call the consult general, former television journalist Tom Clark, to testify at the committee, even though this is not his decision, but one of the department, because it’s their asset. This is not accidental or because they don’t understand—it’s deliberate, because the Conservatives want to harvest clips of them calling him a “Liberal insider,” or a “media buddy,” trying to humiliate him by telling him to his face that Pierre Poilievre has promised to fire him as soon as he forms government, and generally denigrating him and his position—which is a tactic straight out of the authoritarian playbook, for the record. Clark, being in New York, is immune from a summons and should ignore it, because the only person the committee should hear from is the deputy minister, and possibly the minister, as she is politically accountable. But summoning Clark is beyond the pale, and they know it, but that doesn’t stop them from planning a social media campaign around it, because that’s what the House of Commons and its committees has become.

Ukraine Dispatch

Russian missiles struck the headquarters of a Swiss mine-clearing NGO in Kharkiv, killing six. Russian drones also hit the Danube port of Izmail, wounding there others. Here’s a look at the people in Mykolaiv in the south, who have been under constant Russian attack.

Continue reading →

Roundup: A predictable lack of self-awareness of her rhetoric

Posted on by

As day follows night, it was not only predictable but absolutely inevitable that Danielle Smith would immediately start parroting Republican talking points to condemn the rhetoric of her political rivals for the increase in political violence in the wake of the assassination attempt on Donald Trump. And because this is Danielle Smith, there is absolutely zero self-awareness of her own history of violent political rhetoric and encouraging it among the more swivel-eyed elements of her political base in reference to her rivals.

In fact, here are some examples of how Smith’s past rhetoric has put lives in danger, which, again, she refuses to take absolutely any responsibility for. No, it’s the “progressive left” with their “cancel culture” that is creating this violent rhetoric.

Meanwhile, Pierre Poilievre says he worries about the safety of his family, but rejects any notion that he has to tone down his own political rhetoric, where he accuses the prime minister of selling out the country to foreign powers, or offering succour to the “convoy” crowd and their flags denoting their desire to have sex with the prime minister, while refusing to condemn their violent rhetoric (such as images or actual nooses that they carry as part of their grievance cosplay). It should be little wonder then why Canadian intelligence services worry that threats to politicians are increasing because those people see that there’s no consequences for them doing so. Indeed, this comes at the same time as the former Army reservist who crashed into the gates of Rideau Hall with a truck full of guns got out on statutory release. It was a short sentence (he was sentenced to less than half of the maximum), and seems to be no worse for wear from it. It certainly gives all of the impression that we’re not taking it seriously.

Ukraine Dispatch

Ukraine’s navy says that the last Russian patrol ship has left Russian-occupied Crimea to be re-based elsewhere, thanks to Ukraine’s campaign of naval drones causing significant damage to Russia’s Black Sea Fleet. President Volodymyr Zelenskyy says that Ukraine still needs another 25 Patriot missile defence systems, and more F-16s in order to protect the country from further Russian strikes.

Continue reading →

Roundup: Nothing to opt out of

Posted on by

Breaking through the endless wank-a-thon of the pundit class declaring that Justin Trudeau needs to go was a story where Danielle Smith had sent a letter to Trudeau declaring that Alberta will “opt out” of the dental care plan, and that they want to negotiate “compensation” that they would apply to their own provincial low-income dental assistance programme, but this seems to completely misunderstand how the programme works. It is very literally an insurance programme. Dental offices bill Sun Life through a portal, and the federal government then reimburses Sun Life. Yes, the rollout was poor and confused (because the whole implementation of this programme has been a bit of a gong show, thanks entirely to the NDP), but this is not a federal transfer programme. There is nothing to compensate the province for because this is a 100 percent federal insurance scheme.

The reason it’s structured this way is because the NDP demanded, as part of the Supply and Confidence Agreement, that this needed to be a fully federal programme, and not cost-shared like early learning and child care, and because dental care is ostensibly provincial jurisdiction, it had to be structured as insurance, and the model they would up choosing was to get Sun Life to do it, and they just pay Sun Life, rather than stand up a federal bureaucracy to administer this. This should have been a federal-provincial transfer so that provinces could bolster their existing dental programmes to federal guidelines, but no. As a result, I don’t see just what Smith can “opt out” of, let alone be compensated for.

Of course, federal health minister Mark Holland didn’t help matters by going on Power & Politics and not explaining how the programme works, and instead suggested that she could opt out if she could guarantee the same or better coverage, but again, opt out of what? The province isn’t billing Sun Life. They are out of the equation entirely, and Holland should have pointed this out, rather than just trying to sound conciliatory and saying he doesn’t want a fight, and repeating the same lines about how many tens of thousands of seniors have availed themselves of the programme to date. Smith doesn’t appear to understand how the programme works, and has created a strawman around it to make it look like she’s standing up to Trudeau (at the expense of her population), and claiming they already have a great dental care programme and that this is duplicative (it’s not—the Alberta programme covers very few people and is a burden to administer).

There is an added issue here with how the media have covered this. CBC, CTV, The Canadian Press, all ignore the programme structure and just retype Smith’s letter, and then get comments from the provincial dental association about either their disagreement on the federal programme or some minor pushback about Smith’s comments about the existing provincial programme, but the fact that this is an insurance company where the dentists bill Sun Life and the province has no involvement at all is a pretty crucial part of the story, which nobody mentions. This should not be rocket science, and this would show that Smith is engaging in bad theatre, but of course they don’t do that, and readers are being given a disservice as a result.

Ukraine Dispatch

President Volodymyr Zelenskyy visited troops on the front lines in the eastern Donetsk region. Zelenskyy is expected to sign a security agreement with the EU later today.

https://twitter.com/ukraine_world/status/1805883881356186102

Continue reading →

Roundup: Abdicating responsibilities and calling on Justice Hogue instead

Posted on by

The reverberations from the NSICOP report continued over the weekend, with the rhetoric still as ridiculous as ever. For example, everyone keeps shouting the word “treason” about what these MPs are alleged to have done (with the exception of the one former MP in the report), and lo, it doesn’t actually meet the Criminal Code definition of “treason,” which means that it’s unlikely anyone is going to face charges for what is alleged to have happened (if indeed any of it was in fact foreign interference and not actions undertaken as part of diplomacy, and the jury is still out on that).

And rather than continue to use this opportunity to behave like adults, the Bloc and the Conservatives now want to turn this over to Justice Hogue so that she can make some sort of determination rather than put on their big-boy pants and get their classified briefings. Turning this over to Justice Hogue would be an absolute abdication of responsibility by both the Bloc and Conservative leaders, and soon it could just be the Conservative leader since Yves-François Blanchet is now considering getting a classified briefing. That hasn’t stopped Michael Chong from going on national television to literally claim that he knows better than former CSIS directors about this, and saying that if Poilievre gets briefed, his hands are tied. That’s wrong, that’s bullshit, and that’s fabricating excuses so that he can continue to act as an ignorant critic rather than an informed observer.

This is not new. This is a long-standing problem in Canadian politics that opposition leaders don’t want to be briefed because if they do, then they have to be responsible in their commentary, and they don’t want to do that. They want to be able to stand up and say inflammatory things, and Poilievre is not only no different, but that’s his entire modus operandi. He can’t operate if he has to act like a responsible grown-up, where he would have to get the information and do something with it internally in his party, but he doesn’t want to do that when he can continue screaming that the prime minister is hiding something. But it’s hard to say that the prime minister is hiding something when he is quite literally offering Poilievre the opportunity to read the classified report, so instead he lies about what that would mean, and he gets Michael Chong to debase himself and also lie about it. This is the state of politics, and it’s very, very bad for our democracy.

Ukraine Dispatch:

Russians appear to be making headway in their attempt to capture the strategically significant town of Chasiv Yar. Ukraine says that it struck an “ultra-modern” Russian aircraft six hundred kilometres from the front lines. The Globe and Mail has a longread about of Ukraine’s most elite special forces units, on the front lines of the war with Russia.

Continue reading →

Roundup: The demand to name names

Posted on by

The day was largely marked with the discourse around that NSICOP report, and the demand that the government name names, even though that’s never going to happen because intelligence is not evidence, there may be ongoing investigations that it might jeopardise, and the possibility of reputational damage for someone who may be unwittingly involved is great—all things the RCMP pointed to in their own release on the subject. The chair of NSICOP said that any next steps are up to the RCMP, but that hasn’t stopped reporters from asking salacious questions about whether they can trust their fellow caucus-members (because remember, reputational damage).

With all of this in mind, I went back to the report, and looked for more than just that one paragraph that every media outlet highlighted. It noted that much of that witting assistance was in relation to India, which is not a “hostile power” last time I checked, even if we have particular issues with them (such as their decision to assassinate someone on our soil). I have no doubt that some MPs would see no problem in trying to “forge closer ties” with India. The other thing that I noted was that, at least in relationship with the Chinese government is that there was an expectation of a quid pro quo relationship, that engaging with them would benefit the political player in question in the hopes that the PRC would mobilise their influence networks in favour of that candidate in the riding. I suspect that in several of these cases, the MPs in question wouldn’t think of it as foreign interference, but that they’re being so clever in leveraging diaspora politics to their advantage, and believing that they can somehow outwit Chinese agents to do it. Likewise with instances of blind eyes being turned to money flowing into ridings, particularly from the Indian government—that they think they can leverage that government to their advantage and not that they’re being played, and why I don’t think that certain media outlets and political figures screaming “name the traitors!” is doing much for the level of discourse. The report did make mention of Chinese and Indian influence in at least two Conservative leadership races, but no details provided as to how or the vectors that took shape as (money, membership sign-ups under the promise of repayment, or so on). There was also mention of one former MP who had wittingly provided information while maintaining a relationship with a foreign intelligence officer, but this was being conflated with the other allegations, which is not helpful in the slightest.

As for what’s next, it would seem to me that the real question here is why certain party leaders continue to be wilfully blind as to the full details of the report, and how they continue to refuse to accept classified briefings. The notion that it would “muzzle” them is bullshit—it would mean they can’t talk about certain specific details, but it would give them a more complete picture of what is happening and if their own MPs are implicated, which would allow them to take internal party action, even if they can’t publicize the details.

Ukraine Dispatch:

Ukrainian forces downed 22 out of 27 Russian drones overnight Wednesday, and an industrial facility in Poltava suffered damage. President Volodymyr Zelenskyy met with the emir of Qatar in advance of the peace summit in Switzerland.

https://twitter.com/ukraine_world/status/1798300991407940083

Continue reading →

QP: Concern trolling about mortgage rates

Posted on by

The prime minister was in town but not present for QP today, while his deputy was, as were most of the other leaders. Pierre Poilievre led off in French, and raised the OFSI report on rising mortgage rates, and falsely said the prime minister said the rates would stay low, before blaming the Bloc for supporting the government, and then demanding the government “cut waste and lower interest rates,” never mind that the two have absolutely nothing to do with one another. Chrystia Freeland said that they know that Conservatives don’t really support people having trouble with their mortgages because they oppose their mortgage charter. Poilievre then raised a newspaper stories about Quebec taxpayers being “bled dry,” and demanded the government accept their plan to suspend gas taxes for the summer. Freeland responded saying that the Conservatives don’t have a plan outside of austerity. Poilievre switched to English to repeat the OFSI talking point, and the same false attribution about the prime minister saying rates would stay low, before citing another Scotiabank report on government spending, but conveniently ignored that it was largely talking about provincial and not federal spending. Freeland repeated that the Conservatives don’t care about people struggling with their mortgages. Poilievre listed increasing food bank use and homeless encampments, and again blamed government spending. Freeland listed how much they reduced poverty thanks to their measures and repeated that the Conservatives only want to cut. Poilievre repeated his same point again, to which Freeland pointed out that Poilievre only built six affordable housing units when he was “minister” on the file, and repeated that they only want to cut programmes.

Alain Therrien led for the Bloc, and railed that the working group on migration has done no work, to which Marc Miller said that work is ongoing ahead of their upcoming meeting. Therrien demanded that Miller stop “demonising” Quebec round resettlement capacity, and Miller shot back that the Bloc doesn’t understand the difference between capacity and desire.

Jagmeet Singh rose for the NDP, and decried the bombing on Rafah and demanded the government do something about Netanyahu. Mélanie Joly denounced the attack, and demanded an imminent ceasefire. Singh repeated the question in French, and Got the same response. 

Continue reading →

Roundup: Singh’s sad display of performative toughness

Posted on by

In a Parliament that is mired in some of the worst theatrics imaginable, it’s hard to think about something that could possibly take the cake, and yet, NDP leader Jagmeet Singh certainly tried with his sad, pathetic performance over the weekend. To wit: The government started debate on the pharmacare legislation at the end of last week, and Conservative MP Stephen Ellis put forward a “reasoned amendment” at the bill be killed at second reading for *handwaves* reasons. Singh would not stand for this, so he…wrote a strongly worded letter, and threatened the Conservatives that he would not stand for delays. And then put out some press releases to show how tough he was in sending that strongly-worded letter. And lo, the deadline he gave the Conservatives to withdraw their amendment came to pass, and wouldn’t you just know it—nothing happened.

The thing with these “reasoned amendments” is that the Conservatives are now moving them on every piece of legislation because it essentially adds time to the clock, which they can use to then run out the clock, again and again, blocking the ability for the government to get more legislation through the process. It’s a tactic that is supposed to be used as a last resort for very serious matters, but it’s being used routinely now, because this is who the Conservatives are, and they will do absolutely anything to keep the government from moving on its agenda. There is a lot that could be written about the absolute degrees of procedural warfare that has taken place over the last few years that have bogged the government and its agenda down entirely, but I’ll get around to it at a later date.

Suffice to say, this is just one more example of Singh making himself (and his party) irrelevant. He keeps pretending he’s going to be tough on the government for their budgets, and then goes along with them (per the Supply and Confidence Agreement). After each song and dance, he swallows himself whole, and then pats himself on the back for how much he accomplished in that budget (never mind that the NDP did absolutely none of the work, but still take full credit for everything). This attempt to “threaten” the Conservatives is just yet more sad spectacle, and it showcases just ineffective he really is.

Ukraine Dispatch:

The Russian drone attack on the power facilities in Sumy region wound up cutting power to 400,000 consumers. Russian forces claim to have taken control of two more villages—Soloviove, and Kotliarivka, and Ukrainian bloggers appear to corroborate this claim.

Continue reading →

Roundup: Tiff Macklem goes to committee

Posted on by

Bank of Canada governor Tiff Macklem appeared before the Commons’ finance committee yesterday, and reiterated that a decision on a rate cut is getting close, which should be good news to (most) everyone—most especially the government. There were a couple of other interesting things he said, which is that we’re not beholden to matching the US’ rate, but at the same time, we can’t diverge too much, or we would face currency devaluation.

The Conservatives have been clipping his appearance at the Senate’s banking committee the day before, claiming that he said that the federal budget and its deficit are fuelling inflation, which isn’t what he said. He said that the budget won’t have any impact on inflation, because any increased spending is balanced out by higher revenues—but they clipped the part about revenues off, because deceit is their current modus operandi.

https://twitter.com/jasrajshallan/status/1786033120690544860

And because of where the discourse is at, Macklem had to once again point out that the carbon levy is not having an impact on inflation, and that if you “axed” it, there would be a small one-time drop in inflation that would disappear the next year (because inflation is a year-over-year measure), and it wouldn’t really change much—a message that Conservatives don’t like to hear, or who like to fudge, because it messes with their narrative that said levy had driven people into poverty (which is not true). But seriously, how many times does he need to say this?

Ukraine Dispatch:

Guided bombs hit close to a sports complex in Kharkiv, injuring eight children. The tally is that Russia fired more than 300 missiles, around 300 drones, and over 3200 guided bombs against Ukraine in April. Russia has massed its forces, and they are making a concerted push along all of the front lines in Donetsk, though Ukraine is holding them off for the time being, though they are forced to be judicious with their ammunition until more can arrive. Here is a look at the state of minefields in Ukraine, where they are now one of the most mined countries in the world.

Continue reading →