Fed cuts interest rates again, gives mixed signals on next move

WASHINGTON — The U.S. Federal Reserve on Wednesday delivered a widely expected interest rate cut aimed at sustaining a record-long economic expansion, but gave few hints of whether or when it could reduce borrowing costs further. The U.S. economic outlook is “favorable,” with labor markets strong and inflation likely to return to the Fed’s 2 per cent inflation goal, Fed Chair Jerome Powell said in a news conference after the decision was announced. But Fed policymakers decided to cut rates, he said, “to provide insurance against ongoing risks” including weak…

Huawei CFO Meng Wanzhou’s arrest awakens Canadians to the long, strong arm of China

Huawei Technologies Co.’s chief financial officer returns to a Vancouver courtroom Monday to fight extradition as Canadian voters deliberate who’s best suited to helm an unprecedented confrontation with China over her plight. Meng Wanzhou’s arrest has plunged Canada’s relationship with its second-biggest trading partner into its darkest period since establishing diplomatic ties in 1970 — with almost no hope of a detente. Navigating that will be one of the thorniest challenges for whoever wins next month’s federal election. The incumbent prime minister, Justin Trudeau, has resisted any attempt to interfere…

‘Shock’: A tiny Canadian cosmetics firm won its first big export order. And then Trump started tweeting

Part of an ongoing series that looks at changes one year after the global trade wars ignited. Joy Yap’s first lesson in how politics can put a stranglehold on trade came in January, when the biggest order in her young company’s history became entangled in customs at the Port of Los Angeles. The request for 130,000 units of Wyld Skincare’s konjac facial sponges, Yap’s bestseller, had come as a surprise, with a tight deadline for delivery and a hefty penalty for any delay. The potential payoff from the order was…

Donald Trump has paved the way for our leaders to try to influence the Bank of Canada

The Washington Post published an interesting bit of trivia this week. As of Sept. 18, Donald Trump had tweeted or retweeted nasty things about the Federal Reserve and its chairman, Jerome Powell, an astonishing 43 times since the end of July. The 43rd came about 25 minutes after Powell and the rest of the Fed’s policy committee voted to cut interest rates a quarter point, even though the unemployment rate is the lowest in five decades. “Jay Powell and the Federal Reserve Fail Again,” the president said in a message…

Trade war is plunging world growth to its lowest level since the financial crisis, OECD warns

PARIS — The trade war between the United States and China has plunged global growth to its lowest levels in a decade, the OECD said on Thursday as it slashed its forecasts. The Organisation for Economic Cooperation and Development said that the global economy risked entering a new, lasting low-growth phase if governments continued to dither over how to respond. The global economy will see its weakest growth since the 2008-2009 financial crisis this year, slowing from 3.6 per cent last year to 2.9 per cent this year before a…