Good evening, let’s start with today’s top stories:
Canada’s annual inflation rate fell to 2.9 per cent last month, not only much lower than Bay Street estimates, but marking a return to the Bank of Canada’s target range.
So what next? The Bank still needs to see more than one positive month of inflation data to consider cutting interest rates. However, economists at several of Canada’s largest financial institutions reiterated their expectations that the central bank will announce the first of several rate cuts at its June meeting. After today’s CPI report, traders ramped up their bets that the BoC will deliver its first rate cut in June.
- Opinion: We no longer believe inflation will come down any more, and that’s dangerous
- This grocery calculator will help you spot ways to squeeze inflation out of your food bill
A look at inflation, by provinceBein, Sierra/The Globe and Mail
Second diaspora group won’t take part in foreign-interference inquiry
The human-rights group Canadian Friends of Hong Kong says it won’t participate in Canada’s public inquiry into foreign interference, citing what it calls grave concerns about the standing granted to three politicians with alleged ties to the Chinese government.
In January, an organization representing Uyghur Canadians announced it was withdrawing from the public inquiry over the same matter. Both groups are upset because Commissioner Marie-Josée Hogue granted full standing to former Ontario Liberal cabinet minister Michael Chan and independent MP Han Dong. (This type of standing means they can cross-examine witnesses and gain access to all evidence collected, including that presented to the inquiry outside of hearings.)
U.S. vetoes UN resolution demanding humanitarian ceasefire in Gaza
The United States vetoed an Arab-backed and widely supported United Nations resolution demanding an immediate humanitarian ceasefire in the Gaza Strip, saying it would interfere with negotiations on a deal to free hostages abducted in Israel.
The vote in the 15-member Security Council was 13-1 with Britain abstaining, reflecting the strong support from countries around the globe for ending the more-than-four-month war. Virtually every council member – including the U.S. – expressed serious concern at the impending catastrophe in Gaza’s southern city of Rafah.
- At World Court: Palestinians seek an end to the Israeli occupation, saying their advisory opinion could contribute to a two-state solution for lasting peace. Canada nixed plans to make oral arguments at the International Court of Justice about Israel’s occupation of the Palestinian territories.
- Meanwhile, in Canada: Lisa Beare fills B.C. portfolio vacated by Selina Robinson, who quit over Gaza remark
- Opinion: Even after Rafah, Israeli victory appears out of reach
Sea lions swim by the rowing club as members get ready to hit the water in Coal Harbour, Vancouver on Jan 6, 2024.Leonardo DeGorter/The Globe and Mail
How the animal kingdom annexed Coal Harbour
Vancouver waters have seen unusually large numbers of sea lions, harbour seals and gulls recently, and a rowing club has been busy keeping them company. For over six weeks, the animals put on a daily show, and after some initial wariness, the club’s rowers were delighted to have the animals around. Check out the pictures of the hectic harbour.
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ALSO ON OUR RADAR
Alexey Navalny: Lyudmila Navalnaya, the mother of the dead Russian opposition leader, demanded on Tuesday that President Vladimir Putin hand over her son’s body so she can bury him.
Russia: One of Russia’s most famous political prisoners has accused Vladimir Putin of killing his friend Alexey Navalny, even as Ilya Yashin acknowledged that his own life was in Putin’s hands.
Health care: Newfoundland and Labrador’s Health Minister has asked the province’s health authority to look into what happened to $1.6-million in meal allowances paid to a Toronto-based nursing agency after a Globe and Mail investigation of Canada’s burgeoning for-profit health worker industry.
Military alliance: Former British and Australian prime ministers endorse Canada joining the non-nuclear component of a security pact between Australia, Britain and the United States to counter China’s rising military power in the Indo-Pacific region.
Fertility treatments: The Alabama Supreme Court has ruled that frozen embryos can be considered children under state law, a ruling critics said could have sweeping implications for fertility treatments.
MARKET WATCH
S&P/TSX composite down slightly, U.S. stock markets slide after holiday Monday
Canada’s main stock index was down slightly Tuesday and U.S. markets also fell, as investors continue to make guesses about when central banks on either side of the border will start cutting interest rates.
The S&P/TSX composite index was down 38.08 points or 0.18 per cent at 21,217.53.
In New York, the Dow Jones industrial average was down 64.19 points or 0.17 per cent at 38,563.80. The S&P 500 index was down 30.06 points or 0.6 per cent at 4,975.51, while the Nasdaq composite was down 144.87 points or 0.92 per cent at 15,630.78.
The Canadian dollar traded for 73.98 cents US compared with 74.16 cents US on Friday.
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TALKING POINTS
Canada needs a clear path to a robust defence
“Conservative Leader Pierre Poilievre has at least one thing right about Canada’s continuing failure to meet its defence-spending commitments as a member of the North Atlantic Treaty Organization: It undermines Canadian sovereignty by inviting the United States to step into the resulting vacuum.” – The Editorial Board
Why is Quebec the only province to give impaired drivers such a long leash?
“Clearly, Quebec is taking its reputation for joie de vivre a little too literally. The restaurant and bar sector must have the ear of government. MADD Canada clearly does not.” – André Picard
How much do you spend for a gift in these trying times?
“Where consensus really breaks down is the answers to one of the big philosophical questions of wedding gift giving: Should the value of your gift reflect the cost to the couple getting married of having you attend? Or, as some survey participants put it, the cost of your plate.” – Rob Carrick
LIVING BETTER
Does exercise at work make you more or less healthy?
A little more than a decade ago, Danish occupational health researcher Andreas Holtermann first identified what he dubbed the “physical activity paradox.” Exercise, he observed, seems to be good for your health if you do it on your own time, but bad if you do it at work.
So, does it matter whether you get your 10,000 steps in a park or on your delivery route? New data suggest that there is a sweet spot, in other words: physical activity at work was good, but only up to a point. Read more.
TODAY’S LONG READ
Meet the Canadian company keeping online gamblers in line
Anna Sainsbury, CEO, chairman, and co-founder of GeoComply.Dina Goldstein/The Globe and Mail
Husband and wife duo Anna Sainsbury and David Briggs started GeoComply to help companies abide by gambling compliance laws by locating internet users, both in cyberspace and in physical space.
The fast-growing company’s has attracted hundreds of clients, including gambling giants like DraftKings, Caesars and BetMGM.
GeoComply is currently valued in the low billions, but that number could easily grow. The U.S. gambling industry alone represents a total accessible market of US$20-billion a year. And GeoComply is now moving into content streaming, crypto and fintech – industries with a combined market of US$80-billion. All of this is a big deal. But the company’s most significant achievement is changing how the internet works, for better or for worse.
Evening Update is written by Sierra Bein and Prajakta Dhopade. If you’d like to receive this newsletter by e-mail every weekday evening, go here to sign up. If you have any feedback, send us a note.
Sierra Bein