Why the world’s biggest banks are relatively stable in this crisis – so far

Apr 27, 2020 |Alex Albrecht
The big U.S. banks have set aside massive loan loss provisions as they prepare for the worst of the COVID crisis. European banks begin to report earnings this week, and are expected to do the same. Yet markets have not lost confidence in the world’s biggest...
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Why ESG is outperforming the market

Apr 27, 2020 |Alex Albrecht
On the 50th anniversary of Earth Day, sustainability may seem like the last thing on a troubled market’s mind. And yet, through the crisis, ESG-focussed investments have outperformed the market, and may be positioned to excel as governments design the...
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What the collapse of crude prices means for the oil market

Apr 27, 2020 |Alex Albrecht
For the first time, the price of West Texas Intermediate on futures markets plunged into negative territory. It’s the market sending oil producers a message: “We’re awash in oil. Please shut in production.” RBC Capital Markets’ Energy Strategist Michael...
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Quiet resilience in Canada’s housing markets

Apr 27, 2020 |Alex Albrecht
Wednesday saw the release of startling economic numbers, particularly Canada’s GDP down 9% for March. That’s not the only figure in decline – national home sales are also down 14%. Prices, however, have remained relatively stable as supply dropped in...
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How COVID-19 is affecting investment strategies

Apr 27, 2020 |Alex Albrecht
The global pandemic has roiled financial markets and changed the game for investors. For the past several weeks, investors have been tested on multiple fronts: lower risk premiums thanks to unprecedented central bank stimulus, disrupted business models...
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How Big Tech is using a downturn to its advantage

Apr 27, 2020 |Alex Albrecht
Amazon’s stock surged this week, hitting a new all-time high on Tuesday. The latest spark: Online shopping for basics like groceries is so intense that Amazon announced plans to hire 75,000 more workers, on top of the 100,000 it’s already added in the...
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A downturn like no other

Apr 27, 2020 |Alex Albrecht
This may be the darkest quarter on record for the Canadian economy. Our consumer-driven economy could make a rebuild even tougher, as we all tend to our wounds and avoid public places for months to come. As GDP declines and unemployment reaches unprecedented...
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How Donald Trump’s Fed became the world’s central bank

Apr 27, 2020 |Alex Albrecht
Global markets have rarely seen the volatility they endured in March, but in recent days a degree of calm has returned. One big reason is the Fed’s quiet role in extending liquidity lifelines to countries around the world, essentially doing for them what...
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A COVID cure? Watch for wishful thinking

Apr 27, 2020 |Alex Albrecht
The race is on for vaccines and treatments for COVID-19. Brian Abrahams, RBC’s Co-Head of Biotechnology Research, has some hope based on what he’s seeing but cautions we’re “in the early innings.” A vaccine is probably not realistic before 2021, he warns...
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Health Crisis, Yes; Debt Crisis, No

Apr 27, 2020 |Alex Albrecht
The explosion of fiscal spending plans in recent weeks will lead to more public debt than many thought imaginable just a few weeks ago. The U.S. government will need to borrow $2 to $4 trillion just to get through the crisis. Western Europe perhaps the...
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