Daily Pulse
One of our most accessible tools, this daily comment keeps you abreast of developments on the North American and international financial markets.
Michel Doucet
Vice-President and
Portfolio Manager
June 27, 2025
Canada
Prime Minister Mark Carney's bill to speed up the construction of major projects has passed Canada's Senate and will soon become law. The
legislation allows projects deemed to be in the "national interest" to receive quicker reviews for environmental and other impacts, prompting outcry from some Indigenous groups. The bill also removes federal barriers to internal trade, aiming to enable provinces to sell more to one another and reduce their dependence on the US market.
The head of Canada's financial regulator is "gratified" that the global trade war hasn't caused financial-system stress, but remains on alert for a sudden downturn. The Office of the Superintendent of Financial Institutions left capital requirements unchanged for Canada's largest banks, with the stability buffer remaining at 3.5%, signaling stable systemic risks to bank balance sheets.
United States
Stocks got fresh momentum after the US and China finalized an understanding on trade. The deal includes a commitment from China to deliver rare earths. Howard Lutnick said the White House has imminent plans to reach agreements with 10 major trading partners. But the EU’s Ursula von der Leyen said it’s prepared for all outcomes in its talks, including breakdown.
The effect of Donald Trump’s tariffs on corporate earnings remains a major concern for analysts. Wall Street expects S&P 500 profit growth of just 2.8% in the second quarter, the smallest jump in two years, Bloomberg Intelligence data show.
Europe
The EU is considering lowering tariffs on a range of U.S. imports in a bid to clinch a speedy trade deal, according to people familiar with the matter. EU leaders are set to debate how much they’re willing to sacrifice to win over President Trump. He threatened imminent 50% tariffs on the EU in May, before quickly agreeing to hold off for a bit. Meanwhile, oil executives successfully urged the Trump administration to use ongoing trade talks to push for a rollback of two major EU climate laws, people familiar with the matter said.
Inflation in France and Spain ticked up, but not enough to concern the ECB. French prices rose an annual 0.8% in June and in Spain they advanced by 2.2%.
Asia
China’s industrial profits slumped 9.1% in May, the biggest drop since October, under the weight of higher US tariffs and deflationary pressure. The decline adds urgency for more stimulus to meet growth goals.
China’s main chip fund, state-backed Big Fund III, will shift focus to key tech gaps like lithography and chip design software to counter US curbs, people familiar said. The fund aims to back local firms in areas dominated by ASML, Cadence and Synopsys.