A War of Attrition — Missiles, Oil, and Global Power

Today, we're joined by Fraser Matthews, CEO of Netcoins, to discuss the rise of stablecoins, their impact on the banking system, and the future of digital payments. Are stablecoins an existential threat to traditional banks or the railways and bridges connecting traditional finance and the on-chain economy? We also tackle Canada's struggling housing market, stubborn inflation, rising bond yields, and the growing risks facing financial markets.

British Columbia is facing a record $13.8 billion budget deficit, mounting tax pressures, and a struggling housing market. With the October 24 election approaching, we sit down with B.C. Conservative Leader Lorne Doerkson to discuss the province's fiscal challenges, the NDP's tax policies, housing affordability, stalled development, the rampant crime and drug use, and the future of investment in British Columbia. We also examine the political shakeup in Quebec, rising global bond yields, mounting concerns over government debt, and the Canadian dollar's weakness against the U.S. dollar. Could higher long-term interest rates put even more pressure on Canada's economy and housing market?

Bond markets are deteriorating rapidly as yields rise and credit spreads begin to widen across the U.S., Canada, Europe, and Japan. We discuss what tightening financial conditions could mean for housing, equities, the broader economy, as well as the possibility that a short-term recovery in bonds could ultimately prove to be a bear trap. Meanwhile, B.C.’s condo market continues to struggle with thousands of completed and unsold units as developers face mounting pressure. We also discuss Canada’s debt maturity schedule, Saskatchewan's push toward nuclear power, taxes and talent retention, and the renewed debate over immigration and temporary foreign workers.

Today, we'll break down the renewed surge in global bond yields and what it could mean for interest rates, mortgages, housing, and the broader economy. Long-term yields are climbing across central banks globally, putting renewered pressure on borrowing costs just as households and businesses faces further challenges. We also discuss Canada's slowing population growth and rental market, mounting stress in US housing and multifamily real estate, weakness beneath the surface of the US consumer, and why companies like McDonald's are warning that sticky, elevated food inflation and flat customer traffic are the "new normal".

Central banks are turning increasingly hawkish as an escalating global energy crisis keeps inflation under pressure. We'll break down why policymakers are committing to higher interest rates even as the underlying inflation problem is increasingly driven by energy supply. They discuss the latest moves from the Fed and European central banks, rising global bond yields, surging oil and fuel costs, and what it could mean for Canadian mortgage rates. Meanwhile, Canada’s housing market remains frozen, with national home sales falling to their lowest year-to-date level since 2003.