Today
Futures are up this morning despite disappointing jobs numbers coming out of the U.S. To say that this has been a volatile week would be an understatement, as the market nears the end of a roller-coaster week driven by omicron variant concerns. The major indexes rebounded in yesterday’s regular trading session but despite the rally, the averages are on pace for a losing week. On the jobs front, investors were disappointed this morning after the Non-Farm Payroll numbers from the U.S. came out. The U.S. economy created far fewer jobs than expected in November increasing just 210,000 for the month (the estimate was 573,000). Canada on the other hand fared much better, adding 153,700 jobs last month. The outlook going forward is mixed with rising cases of the virus, a less accommodative Fed, and tougher growth comps in the year ahead.
It’s been a year for records, in this case for Toronto real estate. The average home price in Toronto was $1.16 million, representing an increase of 22% compared to last year. Low interest rates and the desire for more space (a separate home office is always nice) has buyers bidding up the homes that are available for sale. A decline in supply has exacerbated the pricing pressure. High demand and constrained supply is a familiar account we’ve heard over the last year. According to data provided by the Toronto Real Estate Board, the number of new listings declined by 13% month over month and a whopping 34% compared to last year.
The spread of the omicron variant across the world could further delay the travel industry’s recovery, a fresh challenge just as international trips were on the upswing after a 20-month slump. The variant, first reported by South African scientists last week with the first Canadian cases confirmed a few days ago, has sparked a new host of travel restrictions that took many travelers by surprise, leaving some stranded as several countries temporarily barred flights or arriving passengers from the region.
Just when Canada got our team back to play north of the border, it has been taken away. The collective bargaining agreement between Major League Baseball and the Major League Baseball Players Association expired and yesterday the league informed the players that it had locked them out, beginning the game's first work stoppage in more than 25 years. The lockout threatens plans for spring training and opening day on March 31 and also stifles what has been an intriguing off-season so far with big-ticket free-agent signings for The Blue Jays. So what do players want? In general, they would like to be paid more at younger ages because that's when they are in their prime. The system now also favours keeping players in the minor leagues for several weeks extra to slow down their major league service time, which players hate.
You may have seen more and more footage online of brazen “smash and grab” robberies. Retail theft is soaring across the U.S., with large chains like Best Buy and Walgreens falling victim to increasingly brazen and widespread instances of shoplifting. In recent days, reports of "smash and grab" robberies in major cities featuring crowds of thieves making it off with electronics, clothing and footwear, have flooded social media. Security experts cite a litany of reasons including fallout from the pandemic, overwhelmed law enforcement, and deteriorating public safety. In response retailers are investing millions of dollars this holiday season upgrade their security, adding a lot of physical security technology, resources, manpower and off-duty police. Unfortunately, this has led to many mom and pop stores to become the targets of thefts as they cannot afford the extra security needed. Another potential cost to pass on to customers.
Diversion: Apparently bulls don’t attack if they’re not threatened. Either way, I wouldn’t try this.
