Well I told you it would happen; last Thursday the Bank of Canada announced the end of the recession, at least in Canada. Well I told you it would happen; last Thursday the Bank of Canada announced the end of the recession, at least in Canada. Immediately the naysayers leaped out of the woods. The VP of Export Development Canada forecasted more bad news in the second quarter will lead to further contraction in the world's largest economies. The Chief Economist for the Canadian Manufacturers and Exporters thinks the Bank of Canada forecast is optimistic since he is not seeing any sustainable recovery in customer orders. On the other hand, the vice-chairman of Deloite Canada cautioned that there is a time lag before any recovery makes an impact.
I especially liked the retort from the Export Development Canada guy who draws an analogy with an earthquake, saying there is relief when it is over but dealing with the resulting devastation is another thing.
Our Canadian cousins are terrific people, typically optimistic in a sunny personality way. Ready to find good wherever and not prone to controversy. Quite the opposite from us on the other side of the border who tend to be outspoken and hardly reticent on issues.
So thanks Bank of Canada, you made my weekend with your upbeat but cautious assessment of the situation in manufacturing in Canada. I know that yours is just one voice but you made the headlines and I am sure those that read them smiled, at least for a while.
Here's a smattering of last Friday's headlines.
Ford navigates path to profitability
Hyundai earnings climb 48%
Airlines report some sign of stabilizing
Defense firms call business solid
Stock recaptures 9000 on profit surprise
Microchip companies sinking billions into US factories
VW gains ground in the first half
Hello out there; is there something going on? Could it be the bottom has been reached? Yeah, yeah, I know there was plenty of bad news too, but the good news was really good and it made for a great weekend.