From this morning’s Breakfast with Dave missive:
FIFTEEN REASONS TO LOVE THE LOONIE (WE COULDN’T STOP AT TEN!)
- Better growth than in the U.S.A. and without need for stimulus
- Responsible central bank, limiting growth in its balance sheet
- Better fiscal backdrop
- More conservative political environment
- Triple the exposure to raw material than the U.S.A.
- Investors get 115 basis points premium over Treasuries at the front end of the government yield curve
- Canada in the top 15 net oil exporters globally … U.S.A. top importer
- TSX dividend yield at 2.36%; S&P 500 dividend yield at 1.82%
- Housing market in balance in most of the metro areas; no foreclosure supply coming
- Inflation is low and stable with minimal risk of deflation
- Economic recovery being fuelled principally by business spending
- Corporate tax rates on a sliding scale down
- Immigration and capital flows running at record levels
- Vancouver rated top city in the world to live
- Stable banking system with consistent dividend growth