The Coronavirus: Putting It Into Perspective & Economic Impact

The recent news of the SARS-like virus originating from China is rapidly becoming front-page news. Given Canadian demographics, it seems reasonable to expect a growing awareness of the problem. By the time you read this, the virus will likely have killed a bit less than 3% of its subjects. Its victims are mostly elderly souls … Continue reading The Coronavirus: Putting It Into Perspective & Economic Impact

Bank Of Canada Interest Rate Announcement & Monetary Policy Report: Key Implications

As the Bank of Canada announced yesterday that it will maintain its overnight rate, our Chief Strategist John Johnston gives an overview of key implications that are important for investors. Overview The Bank of Canada (BoC) left the overnight rate steady at 1.75%, but is leaning slightly more toward lower rates than higher rates. It … Continue reading Bank Of Canada Interest Rate Announcement & Monetary Policy Report: Key Implications

Canada’s Federal Election 2019: Key Implications

In the wake of the 2019 Canadian federal election, our Chief Strategist John Johnston gives an overview of key implications and policy issues that are important for investors. Overview The election has resulted in a Liberal minority government - likely with NDP support - that should be stable enough to last at least two years. Fiscal policy is expected to remain relatively prudent. More federal deficits lie ahead, … Continue reading Canada’s Federal Election 2019: Key Implications

Canada’s Federal Election 2019: Potential Outcomes And Key Policy Issues

Ahead of the 2019 Canadian federal election, our Chief Strategist John Johnston gives an overview of potential election outcomes and key policy issues that are important for investors. Key Points The election is too close to call. Wide range of potential outcomes: Liberal or Conservative majority or minority governments. Canada has a long history of … Continue reading Canada’s Federal Election 2019: Potential Outcomes And Key Policy Issues

Bank Stocks: Don’t Lose Sight Of Where The Value Lies

We agree with Warren Buffett, banks are great investments. So why are people so pessimistic? Warren Buffett, who is probably the most successful long-term investor, says banks are great because they are “very good investments at sensible prices… and they are cheaper than other businesses that are also good businesses, by some margin.” He’s put … Continue reading Bank Stocks: Don’t Lose Sight Of Where The Value Lies

August Update, 2019: Summer Market Commentary

Markets have exhibited a great deal of volatility over the last two months. It has not been uncommon for markets to fall by 400 points one day, and to rebound by the same amount the next. There are various explanations for these violent swings, ranging from trade war concerns to recession worries that are mostly … Continue reading August Update, 2019: Summer Market Commentary

Who’s The Biggest Loser In The U.S. And China Trade War?

The trade war between the U.S. and China is on everyone’s radar but how important is it, really? Let’s be clear, in trade both parties should enjoy benefits and in war, there are no winners. So, in this war who is the biggest loser? Let’s look at the facts: The U.S. economy is roughly a … Continue reading Who’s The Biggest Loser In The U.S. And China Trade War?

Cannabis Flash, September 2018

Below is a video about CannTrust Holdings Inc., a portfolio investment at Davis Rea which we have written about previously. It's the only real business-oriented, non-promotional cannabis company listed in Canada and is rumoured to list on the Nasdaq soon. We have owned it for quite some time and they continue to under promise and … Continue reading Cannabis Flash, September 2018

Ontario Election Flash, June 2018

John Johnston, Chief Strategist here at Davis Rea, has put together some notes on the election that we thought we would share with you. The election outcome was consistent with the polls, though PCs and Liberals did better than last polls on June 6 suggested, and NDP did worse. However, each outcome was within the … Continue reading Ontario Election Flash, June 2018