Every other Tuesday, we release 5 Minutes for Business, a publication written by Hendrik Brakel, our Senior Director of Economic, Financial and Tax Policy. In these publications, Hendrik briefly describes current issues that affect the Canadian economy and provides insight on what it will mean for Canadians today and the future.
In this edition of 5 Minutes for Business, Hendrik Brakel, our Senior Director, Economic, Financial and Tax Policy, looks at the U.S. economy and, in particular, the U.S. housing market and its impact on Canadian business.
While the U.S. economy showed slower growth in Q4 of 2014, the U.S. job market is in great shape and consumer spending is on the rise. This is having a positive effect on the U.S. housing market. In fact, household formation (the creation and arrival of new families) rose to two million in January, the highest level in five years. The Canadian Chamber is forecasting that housing starts in the U.S. will rise almost 20% to 1.2 million in 2015. This is great news for the Canadian lumber industry, which has been Canada’s fastest growing export sector for the period from 2012 to 2014. This is also good news for Canadian producers of a wide variety of consumer goods.
Read 5 Minutes for Business.
For more information, please contact Hendrik Brakel.