TEC Canada is pleased to provide the Andersen Monthly Economic Report exclusively to our members to offer professional updates on the current economic environment in Canada, the USA, and globally. As the former assistant chief of the Bank of Canada’s research department, Dr. Peter Andersen provides valuable economic insight to help you make better business decisions.
January 2025 PREVIEW:
Canada | Tariff Impact | Job Growth | Rate Cuts
Canada faces significant challenges in 2025, with a potential 25% tariff expected to slow economic growth and lead to a decline in GDP by mid-year. However, strong job growth in late 2024 has bolstered consumer spending and contributed to a recovering housing market. This recovery, coupled with anticipated Bank of Canada rate cuts, may help cushion the economic impact of the tariff.
United States | Trump’s Inauguration | Economic Strength | Wealth Gains
The U.S. is preparing for Donald Trump’s upcoming inauguration, sparking discussions on tariffs and tax cuts. Meanwhile, the economy ended 2024 with strong GDP growth and a robust labour market, with low unemployment claims, few layoffs, and rising job openings. Increasing stock prices and home values are benefiting higher-income households, overall positioning the U.S. for continued growth in 2025.
Commodities | Rising Costs | Energy Impact | Market Pressure
Tariff uncertainties and global economic challenges are impacting commodity markets, driving up costs for key materials and potentially increasing natural gas prices. While China’s economic struggles weigh on demand, fiscal stimulus has supported oil prices, though a strong USD continues to suppress gains in international markets.
