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Bank of Montreal
Symbol BMO
Shares Issued 729,585,048
Close 2024-11-29 C$ 133.50
Market Cap C$ 97,399,603,908
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Globe says BMO's Kavcic sees good times for Canada

2024-11-29 08:13 ET - In the News

The Globe and Mail reports in its Friday edition that there are any number of reasons to feel glum about Canada's economic prospects. The Globe's Jason Kirby writes that on top of immigration cutbacks, consumers struggling to keep up with debt payments and president-elect Donald Trump spoiling for a trade war, the response from investors to all this is "Buy Canada." Over the past six months, the benchmark S&P/TSX Composite Index is up more than 14 per cent, leaving many global markets in the dust. It has even outpaced America's S&P 500 index. As BMO economist Robert Kavcic put it in a note to clients, "What if the negative narratives around Canada are overdone or just flat-out wrong?" There are silver linings to all the clouds Canada is facing. Rather than hinder the economy, returning to sustainable population growth could help ease inflation pressures. Real wages are growing, offsetting the higher interest rates that come with mortgage renewals. Even Mr. Trump's pro-growth agenda could benefit Canada in the end. The S&P/TSX barely faltered after his tariff plan was announced. A plunging loonie has helped; but for all the immediate threats Canada's economy, investors are keeping the faith for now.

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