Hot Economy? Three Of Four Biggest Months For Trade Ever Are In 2021 - Forbes | Canada News Media
Connect with us

Economy

Hot Economy? Three Of Four Biggest Months For Trade Ever Are In 2021 – Forbes

Published

 on


Three of the four biggest months for U.S. trade ever are the latest three months, according to my analysis of government data released Friday.

More trade occurred in March than any month in U.S. history, with May third and April fourth all-time. The Census Bureau data released Friday covers through May.

That strength is not coming from the usual suspects. This will present another data set for financial markets and economists to digest, who are still wrestling with whether inflation is picking up only short-term or more long-term.

On the import side, motor vehicles, often the leading U.S. import, are off 22.62% from pre-pandemic total registered in May of 2019. That’s $3.45 billion.

The value of crude oil, the second-ranked import, was off 21.82% from May 0f 2019. That’s equal to $2.92 billion. The value of gasoline and other refined petroleum products, the seventh-ranked import, is down $514.02 million from May of 2019.

On the export side, the category led by civilian aircraft, which had ranked first for 76 consecutive months, has ranked second to oil three of the last five months, with May totals down 43.35% in May from the same month in 2019, before the pandemic.

Even oil, one of the nation’s fastest-growing exports, is down 5.13% from May of 2019. Motor vehicle parts, a key cog in the automotive supply chain, have yet to recover fully from the pandemic and are down $997.79 million, or 25.05%, from May of 2019.

So how to explain the record growth in U.S. trade?

The growth on the export side, when comparing May of this year to May of 2019, is from:

  • No. 5-ranked natural gas and other petroleum gases, up $2.06 billion, 79.08%,
  • No. 6 computer chips, up $1.46 billion, 45.87%,
  • No. 9 vaccines, plasma and other blood fractions, up $934.31 million, a robust 45.86% from May two years ago.
  • No. 13-ranked corn, up 172.14%, equal to $1.5 billion.
  • No. 17 platinum, up $1.07 billion, 301.32% from May 2019.

To be clear, May 2019 was no slouch of a month. It was the second biggest May in history for U.S. exports, behind only May of 2021, and the 12-busiest of all time. Overall exports increased a meager 1.07% between May 2019 and May 2021.

On the import side, if not cars and oil, then what? And do these fast-growing imports suggest inflationary pressures?

Well, the effects of Covid-19 can still be seen in several high-flyers, including two of which registered values in May of 2021 more than $1 billion above the May 2019 total.

  • No. 18, a primary lumber category that has been well-publicized for being caught up in the supply chain shortage brought on my home repairs and other construction,. was up $1.33 billion in May, an increase of 245.14% over May of 2019.
  • No. 21 platinum is up $1.16 billion, an increase equal to 255.83%.
  • No. 3 computers are up $799.71 million, a less stratospheric 9.84% that is nevertheless slightly better than twice the rate of growth for all U.S. imports. Technology tends not to be hit by inflation; in fact, it is often quite the opposite, In this case, think home offices needing to be outfitted. Still. One year after the pandemic struck.
  • No. 10 computer chips were up $948.57 million in May, when compared to May of 2019, an increase of 35.26%.
  • No. 30, a category dominated by non-surgical rubber or latex gloves, was up $982.40 million, an increase of 418.42%. Think all those people wearing those blue gloves to serve you.
  • No. 40 exercise and gym equipment, is pumped up as well, increasing $525.35 million, a 87,07% jump. More than a few people didn’t like what they saw in that full-length mirror while stranded at home — and those sales seem to still be strong.

As was the case with exports, on the import side, it isn’t like May 2019 was a down year, making it easier to post big percentage gains this May. May of 2019 was the sixth biggest month in U.S. history.

Given the strong month of May, it should come as no surprise that U.S. trade is still running at a record pace, with overall trade at $1.79 trillion, a 4.36% gain on the record pace set in 2019. Exports stood at $692.28 billion through May, up a sliver, 0.83% above the 2018 record pace. Imports topped $1.09 trillion, an increase of 6.55% over the 2019 pace.

For the first time ever, the U.S. trade deficit topped $400 billion in the first five months of a year, ending at $401.34 billion. The percentage of trade that is a U.S. export, which tends to run somewhat parallel to the trade deficit, was at its lowest level since 2008, at 38.76%.

Adblock test (Why?)



Source link

Continue Reading

Business

A timeline of events in the bread price-fixing scandal

Published

 on

 

Almost seven years since news broke of an alleged conspiracy to fix the price of packaged bread across Canada, the saga isn’t over: the Competition Bureau continues to investigate the companies that may have been involved, and two class-action lawsuits continue to work their way through the courts.

Here’s a timeline of key events in the bread price-fixing case.

Oct. 31, 2017: The Competition Bureau says it’s investigating allegations of bread price-fixing and that it was granted search warrants in the case. Several grocers confirm they are co-operating in the probe.

Dec. 19, 2017: Loblaw and George Weston say they participated in an “industry-wide price-fixing arrangement” to raise the price of packaged bread. The companies say they have been co-operating in the Competition Bureau’s investigation since March 2015, when they self-reported to the bureau upon discovering anti-competitive behaviour, and are receiving immunity from prosecution. They announce they are offering $25 gift cards to customers amid the ongoing investigation into alleged bread price-fixing.

Jan. 31, 2018: In court documents, the Competition Bureau says at least $1.50 was added to the price of a loaf of bread between about 2001 and 2016.

Dec. 20, 2019: A class-action lawsuit in a Quebec court against multiple grocers and food companies is certified against a number of companies allegedly involved in bread price-fixing, including Loblaw, George Weston, Metro, Sobeys, Walmart Canada, Canada Bread and Giant Tiger (which have all denied involvement, except for Loblaw and George Weston, which later settled with the plaintiffs).

Dec. 31, 2021: A class-action lawsuit in an Ontario court covering all Canadian residents except those in Quebec who bought packaged bread from a company named in the suit is certified against roughly the same group of companies.

June 21, 2023: Bakery giant Canada Bread Co. is fined $50 million after pleading guilty to four counts of price-fixing under the Competition Act as part of the Competition Bureau’s ongoing investigation.

Oct. 25 2023: Canada Bread files a statement of defence in the Ontario class action denying participating in the alleged conspiracy and saying any anti-competitive behaviour it participated in was at the direction and to the benefit of its then-majority owner Maple Leaf Foods, which is not a defendant in the case (neither is its current owner Grupo Bimbo). Maple Leaf calls Canada Bread’s accusations “baseless.”

Dec. 20, 2023: Metro files new documents in the Ontario class action accusing Loblaw and its parent company George Weston of conspiring to implicate it in the alleged scheme, denying involvement. Sobeys has made a similar claim. The two companies deny the allegations.

July 25, 2024: Loblaw and George Weston say they agreed to pay a combined $500 million to settle both the Ontario and Quebec class-action lawsuits. Loblaw’s share of the settlement includes a $96-million credit for the gift cards it gave out years earlier.

Sept. 12, 2024: Canada Bread files new documents in Ontario court as part of the class action, claiming Maple Leaf used it as a “shield” to avoid liability in the alleged scheme. Maple Leaf was a majority shareholder of Canada Bread until 2014, and the company claims it’s liable for any price-fixing activity. Maple Leaf refutes the claims.

This report by The Canadian Press was first published Sept. 19, 2024.

Companies in this story: (TSX:L, TSX:MFI, TSX:MRU, TSX:EMP.A, TSX:WN)

The Canadian Press. All rights reserved.

Source link

Continue Reading

Economy

S&P/TSX composite up more than 250 points, U.S. stock markets also higher

Published

 on

 

TORONTO – Canada’s main stock index was up more than 250 points in late-morning trading, led by strength in the base metal and technology sectors, while U.S. stock markets also charged higher.

The S&P/TSX composite index was up 254.62 points at 23,847.22.

In New York, the Dow Jones industrial average was up 432.77 points at 41,935.87. The S&P 500 index was up 96.38 points at 5,714.64, while the Nasdaq composite was up 486.12 points at 18,059.42.

The Canadian dollar traded for 73.68 cents US compared with 73.58 cents US on Thursday.

The November crude oil contract was up 89 cents at US$70.77 per barrel and the October natural gas contract was down a penny at US2.27 per mmBTU.

The December gold contract was up US$9.40 at US$2,608.00 an ounce and the December copper contract was up four cents at US$4.33 a pound.

This report by The Canadian Press was first published Sept. 19, 2024.

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

The Canadian Press. All rights reserved.

Source link

Continue Reading

Economy

Construction wraps on indoor supervised site for people who inhale drugs in Vancouver

Published

 on

 

VANCOUVER – Supervised injection sites are saving the lives of drug users everyday, but the same support is not being offered to people who inhale illicit drugs, the head of the BC Centre for Excellence in HIV/AIDS says.

Dr. Julio Montaner said the construction of Vancouver’s first indoor supervised site for people who inhale drugs comes as the percentage of people who die from smoking drugs continues to climb.

The location in the Downtown Eastside at the Hope to Health Research and Innovation Centre was unveiled Wednesday after construction was complete, and Montaner said people could start using the specialized rooms in a matter of weeks after final approvals from the city and federal government.

“If we don’t create mechanisms for these individuals to be able to use safely and engage with the medical system, and generate points of entry into the medical system, we will never be able to solve the problem,” he said.

“Now, I’m not here to tell you that we will fix it tomorrow, but denying it or ignoring it, or throw it under the bus, or under the carpet is no way to fix it, so we need to take proactive action.”

Nearly two-thirds of overdose deaths in British Columbia in 2023 came after smoking illicit drugs, yet only 40 per cent of supervised consumption sites in the province offer a safe place to smoke, often outdoors, in a tent.

The centre has been running a supervised injection site for years which sees more than a thousand people monthly and last month resuscitated five people who were overdosing.

The new facilities offer indoor, individual, negative-pressure rooms that allow fresh air to circulate and can clear out smoke in 30 to 60 seconds while users are monitored by trained nurses.

Advocates calling for more supervised inhalation sites have previously said the rules for setting up sites are overly complicated at a time when the province is facing an overdose crisis.

More than 15,000 people have died of overdoses since the public health emergency was declared in B.C. in April 2016.

Kate Salters, a senior researcher at the centre, said they worked with mechanical and chemical engineers to make sure the site is up to code and abidies by the highest standard of occupational health and safety.

“This is just another tool in our tool box to make sure that we’re offering life-saving services to those who are using drugs,” she said.

Montaner acknowledged the process to get the site up and running took “an inordinate amount of time,” but said the centre worked hard to follow all regulations.

“We feel that doing this right, with appropriate scientific background, in a medically supervised environment, etc, etc, allows us to derive the data that ultimately will be sufficiently convincing for not just our leaders, but also the leaders across the country and across the world, to embrace the strategies that we are trying to develop.” he said.

Montaner said building the facility was possible thanks to a single $4-million donation from a longtime supporter.

Construction finished with less than a week before the launch of the next provincial election campaign and within a year of the next federal election.

Montaner said he is concerned about “some of the things that have been said publicly by some of the political leaders in the province and in the country.”

“We want to bring awareness to the people that this is a serious undertaking. This is a very massive investment, and we need to protect it for the benefit of people who are unfortunately drug dependent.” he said.

This report by The Canadian Press was first published Sept. 18, 2024.

The Canadian Press. All rights reserved.

Source link

Continue Reading

Trending

Exit mobile version