Bank of Canada Governor Tiff Macklem speaks at a press conference in Ottawa on Wednesday, January 29, 2025, following the central bank’s latest interest rate decision and the release of its Monetary Policy Report. (Photo credit: The Canadian Press/Justin Tang)
This week, Canada’s business sector is bracing for key economic updates, major corporate earnings, and crucial trade discussions. From government policies to corporate profits, here’s what to keep an eye on.
Trade and Tariffs Take Centre Stage
Trade policies remain a hot topic in Ottawa and on Bay Street. Prime Minister Justin Trudeau is set to visit Paris and Brussels, where he will meet European leaders and NATO officials. Discussions will focus on strengthening security ties and expanding the Canada-EU Comprehensive Economic and Trade Agreement (CETA), which has significantly boosted trade between the two regions. As global economic uncertainties grow, these meetings could shape Canada’s economic future.
Shopify’s Financial Results
E-commerce giant Shopify Inc. will release its fourth-quarter earnings on Tuesday. The company recently introduced a new feature in its Shop app, allowing users in several countries to support local businesses more easily. Investors will be eager to see whether Shopify’s innovations have fuelled growth in a competitive digital marketplace.
Bank of Canada’s Interest Rate Strategy
On Wednesday, the Bank of Canada will publish its summary of discussions behind its latest interest rate decision. Earlier this month, the central bank lowered its key policy rate by 0.25 percentage points to 3%, citing economic pressures. Governor Tiff Macklem has warned that the bank faces growing challenges, including possible U.S. tariffs, rapid technological shifts, extreme weather events, and global instability. The report will offer insights into the bank’s outlook and future policy direction.
Restaurant Brands International’s Earnings Report
Restaurant Brands International Inc., the parent company of Tim Hortons, Burger King, Popeyes, and Firehouse Subs, will announce its fourth-quarter results on Wednesday. The company recently confirmed the return of Tim Hortons’ popular “Roll Up to Win” contest, which lets customers roll up the rims of hot beverage cups to win prizes. Investors will be watching to see how consumer spending trends have impacted the company’s overall performance.
Air Canada’s Profit Outlook
Air Canada will release its fourth-quarter earnings on Friday. With the holiday season behind, analysts will assess whether the airline managed to capitalize on increased travel demand or if inflation, a weaker Canadian dollar, and higher living costs have dampened consumer spending. Investors will also be looking at future projections as the airline navigates economic headwinds.
These developments will be closely watched as they shape Canada’s economic landscape in the coming months.
