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The Canadian Press

Iran scientist linked to military nuclear program killed

DUBAI, United Arab Emirates — An Iranian scientist named by the West as the leader of the Islamic Republic’s disbanded military nuclear program was killed Friday in an ambush on the outskirts of Tehran, authorities said.Iran’s foreign minister alleged the killing of Mohsen Fakhrizadeh bore “serious indications” of an Israeli role, but did not elaborate. Israel, long suspected of killing several Iranian nuclear scientists a decade ago, declined to immediately comment. Israeli Prime Minister Benjamin Netanyahu once told the public to “remember that name” when talking about Fakhrizadeh.The killing risks further raising tensions across the Mideast, nearly a year after Iran and the U.S. stood on the brink of war when an American drone strike killed a top Iranian general in Baghdad. It comes just as President-elect Joe Biden stands poised to be inaugurated in January and will likely complicate his efforts to return America to a pact aimed at ensuring Iran does not have enough highly enriched uranium to make a nuclear weapon.That deal, which saw Iran limit its uranium enrichment in exchange for the lifting of economic sanctions, has entirely unraveled after President Donald Trump withdrew from the accord in 2018.Trump himself retweeted a posting from Israeli journalist Yossi Melman, an expert on the Israeli Mossad intelligence service, about the killing. Melman’s tweet called the killing a “major psychological and professional blow for Iran.”Details about the slaying remained slim in the hours after the attack, which happened in Absard, a village just east of the capital that is a retreat for the Iranian elite. Iranian state television said an old truck with explosives hidden under a load of wood blew up near a sedan carrying Fakhrizadeh.As Fakhrizadeh’s sedan stopped, at least five gunmen emerged and raked the car with rapid fire, the semiofficial Tasnim news agency said.Fakhrizadeh died at a hospital after doctors and paramedics couldn’t revive him. Others wounded included Fakhrizadeh’s bodyguards. Photos and video shared online showed a Nissan sedan with bullet holes in the windshield and blood pooled on the road.While no one claimed responsibility for the attack, Iranian Foreign Minister Mohammad Javad Zarif pointed the finger at Israel, calling the killing an act of “state terror.”“Terrorists murdered an eminent Iranian scientist today. This cowardice — with serious indications of Israeli role — shows desperate warmongering of perpetrators,” Zarif wrote on Twitter.Hossein Dehghan, an adviser to Iran’s supreme leader and a presidential candidate in Iran’s 2021 election, also blamed Israel — and issued a warning.”In the last days of their gambling ally’s political life, the Zionists seek to intensify and increase pressure on Iran to wage a full-blown war,” Dehghan wrote, appearing to refer to Trump’s last days in office. “We will descend like lightning on the killers of this oppressed martyr and we will make them regret their actions!”Hours after the attack, the Pentagon announced it already had brought the USS Nimitz aircraft carrier back into the Middle East, an unusual move as the carrier already spent months in the region. It cited the drawdown of U.S. forces in Afghanistan and Iraq as the reason for the decision, saying “it was prudent to have additional defensive capabilities in the region to meet any contingency.”The attack comes just days before the 10-year anniversary of the killing of Iranian nuclear scientist Majid Shahriari that Tehran also blamed on Israel. That and other targeted killings happened at the time that the so-called Stuxnet virus, believed to be an Israeli and American creation, destroyed Iranian centrifuges.The area around Absard, which has a view of Mount Damavand, the country’s highest peak, is filled with vacation villas. Roads on Friday, part of the Iranian weekend, were emptier than normal due to a lockdown over the coronavirus pandemic, offering his attackers a chance to strike with fewer people around.Fakhrizadeh led Iran’s so-called AMAD program that Israel and the West have alleged was a military operation looking at the feasibility of building a nuclear weapon. Tehran long has maintained its nuclear program is only for civilian purposes.The International Atomic Energy Agency says Iran “carried out activities relevant to the development of a nuclear explosive device” in a “structured program” through the end of 2003. That was the AMAD program, which included work on the carefully timed high explosives needed to detonate an implosion-style nuclear bomb.Iran also “conducted computer modeling of a nuclear explosive device” before 2005 and between 2005 and 2009, the IAEA has said. The agency said, however, that those calculations were “incomplete and fragmented.”IAEA inspectors now monitor Iranian nuclear sites as part of the now-unraveling nuclear deal with world powers. Experts believe Iran has enough low-enriched uranium to make at least two nuclear weapons if it chose to pursue the bomb. Meanwhile, an advanced centrifuge assembly plant at Iran’s Natanz nuclear facility exploded in July in what Tehran now calls a sabotage attack.Fakhrizadeh, born in 1958, had been sanctioned by the U.N. Security Council and the U.S. for his work on AMAD. Iran always described him as a university physics professor. A member of the Revolutionary Guard, Fakhrizadeh had been seen in pictures in meetings attended by Iran’s Supreme Leader Ayatollah Ali Khamenei, a sign of his power.In recent years, U.S. sanctions lists name him as heading Iran’s Organization for Defensive Innovation and Research. The State Department described that organization last year as working on “dual-use research and development activities, of which aspects are potentially useful for nuclear weapons and nuclear weapons delivery systems.”Iran’s mission to the U.N., meanwhile, described Fakhrizadeh’s recent work as “development of the first indigenous COVID-19 test kit” and overseeing Tehran’s efforts at making a possible coronavirus vaccine.In 2018, Netanyahu gave a presentation in which he unveiled what he described as material stolen by Israel from an Iranian nuclear archive.“A key part of the plan was to form new organizations to continue the work,” Netanyahu alleged. “This is how Dr. Mohsen Fakhrizadeh, head of Project AMAD, put it. Remember that name, Fakhrizadeh.”___Associated Press writers Amir Vahdat and Mohammad Nasiri in Tehran, Iran, and Deb Riechmann in Washington contributed to this report.Jon Gambrell, The Associated Press

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Energy stocks help lift S&P/TSX composite, U.S. stock markets also up

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TORONTO – Canada’s main stock index was higher in late-morning trading, helped by strength in energy stocks, while U.S. stock markets also moved up.

The S&P/TSX composite index was up 34.91 points at 23,736.98.

In New York, the Dow Jones industrial average was up 178.05 points at 41,800.13. The S&P 500 index was up 28.38 points at 5,661.47, while the Nasdaq composite was up 133.17 points at 17,725.30.

The Canadian dollar traded for 73.56 cents US compared with 73.57 cents US on Monday.

The November crude oil contract was up 68 cents at US$69.70 per barrel and the October natural gas contract was up three cents at US$2.40 per mmBTU.

The December gold contract was down US$7.80 at US$2,601.10 an ounce and the December copper contract was up a penny at US$4.28 a pound.

This report by The Canadian Press was first published Sept. 17, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

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Canada’s inflation rate hits 2% target, reaches lowest level in more than three years

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OTTAWA – Canada’s inflation rate fell to two per cent last month, finally hitting the Bank of Canada’s target after a tumultuous battle with skyrocketing price growth.

The annual inflation rate fell from 2.5 per cent in July to reach the lowest level since February 2021.

Statistics Canada’s consumer price index report on Tuesday attributed the slowdown in part to lower gasoline prices.

Clothing and footwear prices also decreased on a month-over-month basis, marking the first decline in the month of August since 1971 as retailers offered larger discounts to entice shoppers amid slowing demand.

The Bank of Canada’s preferred core measures of inflation, which strip out volatility in prices, also edged down in August.

The marked slowdown in price growth last month was steeper than the 2.1 per cent annual increase forecasters were expecting ahead of Tuesday’s release and will likely spark speculation of a larger interest rate cut next month from the Bank of Canada.

“Inflation remains unthreatening and the Bank of Canada should now focus on trying to stimulate the economy and halting the upward climb in the unemployment rate,” wrote CIBC senior economist Andrew Grantham.

Benjamin Reitzes, managing director of Canadian rates and macro strategist at BMO, said Tuesday’s figures “tilt the scales” slightly in favour of more aggressive cuts, though he noted the Bank of Canada will have one more inflation reading before its October rate announcement.

“If we get another big downside surprise, calls for a 50 basis-point cut will only grow louder,” wrote Reitzes in a client note.

The central bank began rapidly hiking interest rates in March 2022 in response to runaway inflation, which peaked at a whopping 8.1 per cent that summer.

The central bank increased its key lending rate to five per cent and held it at that level until June 2024, when it delivered its first rate cut in four years.

A combination of recovered global supply chains and high interest rates have helped cool price growth in Canada and around the world.

Bank of Canada governor Tiff Macklem recently signalled that the central bank is ready to increase the size of its interest rate cuts, if inflation or the economy slow by more than expected.

Its key lending rate currently stands at 4.25 per cent.

CIBC is forecasting the central bank will cut its key rate by two percentage points between now and the middle of next year.

The U.S. Federal Reserve is also expected on Wednesday to deliver its first interest rate cut in four years.

This report by The Canadian Press was first published Sept. 17, 2024.

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Federal money and sales taxes help pump up New Brunswick budget surplus

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FREDERICTON – New Brunswick‘s finance minister says the province recorded a surplus of $500.8 million for the fiscal year that ended in March.

Ernie Steeves says the amount — more than 10 times higher than the province’s original $40.3-million budget projection for the 2023-24 fiscal year — was largely the result of a strong economy and population growth.

The report of a big surplus comes as the province prepares for an election campaign, which will officially start on Thursday and end with a vote on Oct. 21.

Steeves says growth of the surplus was fed by revenue from the Harmonized Sales Tax and federal money, especially for health-care funding.

Progressive Conservative Premier Blaine Higgs has promised to reduce the HST by two percentage points to 13 per cent if the party is elected to govern next month.

Meanwhile, the province’s net debt, according to the audited consolidated financial statements, has dropped from $12.3 billion in 2022-23 to $11.8 billion in the most recent fiscal year.

Liberal critic René Legacy says having a stronger balance sheet does not eliminate issues in health care, housing and education.

This report by The Canadian Press was first published Sept. 16, 2024.

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