A Little Bit of This, a Little Bit of That

Wealth Awesome March Newsletter

Author

Qayyum Rajan
March 27, 2025

Welcome to the March 2025 edition of the Wealth Awesome newsletter. Thank you to the 15,000+ 🇨🇦 subscribers who join us today!

Summary

A lil bit of this, a lil bit of that

Despite a record low in consumer confidence due to trade disruptions with the U.S., Canadian consumer spending has shown resilience, according to recent RBC cardholder data.

According to the Conference Board of Canada, consumer confidence plummeted by 32% from January to March. However, retail data, including a slight 0.2% drop in non-auto retail spending and relatively stable expenditures on essentials and discretionary services, suggests spending hasn't aligned entirely with the pessimistic sentiment.

The end of a GST/HST tax holiday and severe weather in February impacted spending patterns, while stimulus measures and lower interest rates offered some support.

Nonetheless, ongoing international trade tensions and potential future tariff hikes pose significant risks to consumer expenditure moving forward.

⏱️ TLDR: We are still in a wait and see attitude for economic data - the path forward is not 100% clear

Key Takeaways 💡

1. Differing signals: Consumer spending has remained relatively stable despite a significant decline in consumer confidence, buoyed partially by government stimulus and lower interest rates.

2. Future Uncertainty: Escalating trade tensions and potential new tariffs threaten to undermine consumer spending further in the upcoming months.

Canadian stocks over the last 30 days (Feb 26 - Mar 26 2025)

Even though we have had a bit of a market rebound the last few days, the overall month has been dismal with the exception of Energy stocks which seem to have got a boost on potentially less tariffs than other products along with generally more fair valuation vs other industries. Technology continues to be a major market risk at the moment across US and Canadian markets.

20 Best GIC Rates in Canada (March 2025): Earn High-Interest

Turn to GICs for better interest rates than your traditional savings accounts. Online banks and credit unions have the best GIC rates in Canada

wealthawesome.com/best-gic-rates-canada

Is Canadian National Railway a Hidden Winner in the Trade War?

Canadian National Railway Company (TSX:CNR) is a key player in North American logistics, offering a comprehensive range of transportation services across

wealthawesome.com/is-canadian-national-railway-a-hidden-winner-in-the-trade-war

Thats it for this month!

The Wealth Awesome Team

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