If there was ever a defining week for the back half of 2025, this could be it! One thing we can all be certain of is that US President Donald Trump makes significant news almost every week. This past week he signed a huge trade deal with the European Union that will bolster energy supply and investment in the US. It also includes 15% tariffs on goods from EU into the US. This will remain a positive for investors and stock markets alike. There are still trade agreements to be hammered out (Canada and China to name a few), but the US will continue the negotiations through this week in advance of the August 1st deadline. Both the US Federal Reserve and the Bank of Canada will make their latest interest rate decisions on Wednesday, and it is widely expected that neither central bank will make cuts this time around, despite the intense pressure in the US to do so. We will also receive the latest GDP figures for both Canada and the US and the two could diverge as the US economy continues to show surprising strength (although skepticism about its health has crept in) while we expect that Canada’s GDP to slow slightly due to sluggish retail sales and a decline in oil production. Finally, it is a massive week for company earnings, with four of Magnificent Seven reporting. Apple, Microsoft, Meta (Facebook) and Amazon will be the headliners reporting this week, following Tesla and Alphabet (Google) last week. The earnings reports from these giants will certainly set the tone for market performance the rest of the week. The initial expectations from analysts were that S&P 500 earnings would rise 5% in Q2, which would result in the slowest pace of earnings growth since the fourth quarter of 2023. However, a third of the S&P companies have reported their earnings thus far, and the index is pacing for earnings growth of 6.4%, up from the expected 5%. It is shaping up to be an especially busy week in the financial world and we look forward to dissecting it and next week bringing forward relevant findings that could influence client portfolios.
We have further information on the state of tariff negotiations between Canada and the US. Click here to Have a look!
Have questions about your RRIF? Talk to us! We have an article that provides a real-life example of someone who is concerned with tax consequences from withdrawing too much from their RRIF. Check it out!
Scams continue to rise, especially amongst senior citizens. We have an insightful article that will provide you with information about the latest scams that targeting people.
The latest innovation has airlines using AI to set ticket prices. We have an article below that can help travellers protect themselves.
Travelling bachelor and bachelorette parties are the new craze- and very expensive. In this interesting article the question is asked: Would you spend $1,000 for your friend’s bachelorette party? Find out the answer in the attached article!
We hope you all have a wonderful week and enjoy the long weekend ahead. Here’s hoping there is sunshine in the forecast for most of it!
