The Living Market Podcast

Canadian economy: what’s happening here?

lG Wealth Management’s Chief Investment Strategist, Philip Petursson reviews Canada’s fourth quarter economic growth and says it’s a modest surprise to the upside. He looks at the flat domestic GDP growth and says the economy has stalled out, and questions when the Bank of Canada might react and start cutting its overnight interest rates.

Tech bubble or long-term opportunity?

Are we witnessing a new tech bubble, asks IG Wealth Management’s Chief Investment Strategist, Philip Petursson. Stock prices for the Magnificent Seven (Amazon, Google, Apple, Meta, Tesla, Microsoft and Nvidia) are already up by 10% for the year. However, unlike the tech bubble of the 2000s, when stock prices soared on hopes and dreams, this time it’s rooted in substantial profits. Philip explains why you should beware of being caught up in the euphoria and instead be cautious about going all-in on tech stocks

The S&P 500 hits an impressive milestone

Milestones are important symbols of progress and achievement, says IG Wealth Management’s Chief Investment Strategist, Philip Petursson. With the S&P 500 recently having broken through the 5,000 mark, Philip takes us through the S&P 500’s other notable landmarks since it broke 1,000 points in 1998, describing the index as being like a champion marathon runner who stops for coffee breaks every few miles, just to mess with us. 

The stats behind the Super Bowl

This Sunday marks the pinnacle of the NFL season as the Kansas City Chiefs and the San Francisco 49ers face each other in the Super Bowl, says Ashish Utarid, Assistant Vice-President, Investment Strategy at IG Wealth Management. He says, as both football teams get ready to go head-to-head, his team was curious about the numbers surrounding the Super Bowl and so decided to break down the surprising stats on jersey superstitions, ad spends and betting trends, and answer the question: is there a stock market ripple effect?

Interest rate hikes have done their job

The Bank of Canada’s (BoC) recent decision to hold its overnight interest rate firm came as no surprise, says IG Wealth Management’s Chief Investment Strategist, Philip Petursson. However, given that rate hikes have succeeded in lowering inflation, and that increased mortgage costs are now causing inflation to be higher, the time has come to start lowering interest rates. Philip reveals how he anticipates inflation to trend over the next six months and when he expects the BoC to start lowering interest rates.

Is oil the economy’s crystal ball?

The oil market is a microcosm of the global economy. It's not just a commodity; it's a barometer for economic health, says IG Wealth Management’s Chief Investment Strategist, Philip Petursson. He says by understanding oil, we gain a window into the economic forces shaping our world – including future inflation trends, global demand and geopolitical risks.

Shipping costs, rebellion and the markets

The Red Sea is a crucial artery for around 15% of global maritime trade, says Ashish Utarid, Assistant Vice-President, Investment Strategy at IG Wealth Management. He says the attacks by the Houthi movement on commercial and navigational ships has already detoured 2,000 vessels and led to significant shipping delays. He examines whether this is a bump in the road or if it could have a lasting impact on the markets.

Labour trends and what they mean to the markets

December’s big increase in U.S. jobs initially brought about a negative reaction from the markets, says IG Wealth Management’s Chief Investment Strategist, Philip Petursson. After all, a hot jobs report means a strong economy and therefore less pressure on the U.S. Federal Reserve to cut interest rates. However, once details emerged beyond the headline numbers (meaning weaker data than initially thought), the markets responded positively. Philip explains that, when it comes to jobs data and the markets, the devil is in the details.

Is the market getting ahead of itself?

We ended 2023 with plenty to encourage investors, says Ashish Utarid, Assistant Vice-President, Investment Strategy at IG Wealth Management: a robust U.S. consumer, inflation under control and a pause in interest rate hikes (with expectations for rate cuts in the new year). This optimism brought about strong gains for equities and bonds at the end of last year. However, Ashish warns, we may see some volatility in early 2024, given that much of those price increases were due to what was expected to happen in the new year, rather than what had already happened.

Forget the skeptics: Santa is bringing an improving economy for 2024

Despite some skeptics still predicting a recession in the U.S., IG Wealth Management’s Assistant Vice-President, Investment Strategy, Ashish Utarid believes that we’re in for a soft landing. He outlines the reasons why he’s confident that the new year will bring rewards for investors, including key economic indicators, such as manufacturing, exports, housing and earnings all heading in the right direction, and recent central bank statements pointing towards interest rate cuts in 2024.