Canada

Canada’s government is trying to minimize the economic and political fallout from depressed western Canadian crude oil prices, and its latest bid is a financial package for the country’s struggling energy sector, the Wall Street Journal reported. A package of financing and incentives totaling 1.6 billion Canadian dollars ($1.20 billion) emerges at a time of deep discontent in western Canada, from political leaders and residents, over the federal government’s failure to get new pipeline infrastructure built.

Miniso Canada says it has reached a preliminary agreement with Miniso Guangzhou LLC in a case that has threatened to force the Chinese discount retailer's Canadian operations into bankruptcy, the Canadian Press reported. In a statement posted to its Instagram page on Monday evening, Miniso Canada said the two parties are currently in the process of settling their business issues and finalizing details on the agreement. Miniso Canada's remarks stemmed from a Dec.

Venezuela is facing the possible unraveling of a pair of billion-dollar settlements aimed at protecting the cash-strapped country’s U.S.-based Citgo Petroleum Corp from seizure by creditors. A lawyer for Canadian mining company Crystallex International Corp said on Tuesday Venezuela had breached the $1.4 billion November agreement that resolved a long-running fight over an expropriated gold mine. Separately, Venezuela’s $1.3 billion settlement in October with Rusoro Mining of Vancouver, also over expropriated mining assets, has been upended by U.S.

Insolvencies filed by Canadian consumers jumped by the most in two years amid signs recent interest rate increases are filtering through to the economy, Bloomberg News reported. Insolvencies climbed to 11,641 in October, an increase of 9.2 percent from a year earlier, according to a report from the Office of the Superintendent of Bankruptcy Canada. Insolvencies surged 16 percent from September, and are 1.5 percent higher than 2017 on a year-to-date basis.

Canada kept interest rates on hold on Wednesday, as a recent spate of disappointing economic readings and the renewed sell-off in crude prompted policymakers to take a more cautious stance, the Financial Times reported. The Bank of Canada held its benchmark rate steady at a 10-year high of 1.75 per cent, as widely expected. However the Canadian dollar slumped to trade 1 per cent lower at C$1.3397 per dollar — the lowest since June 2017 — as policymakers warned that the economy could be heading for a slowdown in the fourth quarter.

Cash-strapped Venezuela settled a $1.2 billion arbitration claim that will prevent a creditor from stripping away its crown jewel foreign asset, the U.S.-based Citgo Petroleum Corp refining business, according to Canadian court documents, Reuters reported. The deal with Crystallex International Corp suspends the Canadian mining company’s push for a court-ordered auction of control of Citgo as a way of collecting on an arbitration award against Venezuela that has grown to more than $1.4 billion with interest. Citgo is based in Houston, Texas.

Insolvencies among Canadian corporations climbed 4.6 percent in the third quarter, the sharpest increase in at least six years, a sign higher borrowing costs may be taking a toll on businesses. Some 826 companies filed for insolvency in the three months through September, compared with 790 in the same period a year earlier, the Office of the Superintendent of Bankruptcies reported Friday, Bloomberg News reported. Quebec, Alberta and Manitoba saw the biggest increases. By sector, retail trade, transportation, construction and manufacturing were among the hardest hit.

Has Increased It is slightly over the last six months, in part due to unease over the global economic outlook, the Bank of Canada said on Wednesday. A semiannual central bank survey of risk management professionals showed that 44 percent felt the chances of a high-impact event with potential to severely impair the financial system had grown slightly, while 50 percent saw no change, Reuters reported. The survey added that 95 percent of respondents were at least fairly confident that the financial system would be resilient in the face of such a shock.

Bombardier Inc. bonds are joining the company’s stock plunge on fresh concern over cash-flow prospects at the manufacturer of planes and trains, Bloomberg News reported. The market swoon underscored investor anxiety about Bombardier’s prospects despite Chief Executive Officer Alain Bellemare’s upbeat 2020 outlook at an investor conference Tuesday -- his first public comments since the company lost a quarter of its market value after reporting earnings last week. Canada’s largest aerospace company surprised investors Nov.

Bombardier Inc. tumbled the most in more than three years as disappointing cash-flow forecasts sowed doubts about Chief Executive Officer Alain Bellemare’s turnaround of the debt-laden maker of trains and aircraft, Bloomberg News reported. The company will only be able to attain its target of breaking even on a cash-flow basis this year by including the proceeds from a $635 million land sale in Toronto. Next year’s outlook for breaking even, plus or minus $250 million, frustrates expectations for a significant improvement, said Nick Heymann, an analyst at William Blair in New York.