Rogers Launching First Telco Hybrid Deal Rogers Communications is ‘making more possible’ by launching their first hybrid bond, a halfway house between debt and equity. This should help them maintain an investment-grade rating if the Shaw merger is completed. The Deal Structure · 60-year bond (callable in 5y) with a coupon of 5%. · Counts […]

There is no stopping the Canadian job machine. With several pandemic unemployment support programs ending in October, it appears people decided to take up many of the jobs on offer: · 153.7k jobs created. · Currently, 186K more people are employed than in Feb 2020. · YoY wage growth accelerates from 2% to 2.7%. · […]

Four More Years. Biden nominates Jay Powell for a second term. · Jay Powell to serve a second term as chair of the Federal Reserve. · Lael Brainard, considered the competitor to the throne, assumes the role of vice-chair and is expected to be named vice-chair of supervision (oversees the US banking system). · This […]

Canadian Inflation · Headline CPI came in as expected at 4.7%, while core inflation was 1.8% (a touch below the expectation of 1.9%) · With the Bank of Canada forecast of 4.8% for Q4, today’s numbers should do little to ease concerns over inflation nor should it stoke these fears further · The market is […]

Today’s FOMC was a relatively straightforward, as-expected affair. · The tapering of QE begins this month with a reduction of $15 bn per month ($10 bn in treasuries, $5 bn in mortgages) · At this pace, QE will be done in mid-June, which sets the stage for rate hikes in the second half of 2022. […]