It seems two individuals are having a distinct effect on Bay Street this year. The business and commercial world in Canada is not only being affected by Donald Trump's presidency, but also by Stephen Poloz, Bank of Canada governor. Their influences, experts say, are for very different reasons -- Trump's outbursts have played a part as has the solid, unobtrusive calls by Poloz.
Those seeking insurance for their debts showed higher numbers in the first half of the year -- up by 9 per cent, or $105.8 billion. The hike in interest rates impacted markets as business people looked to lock in lower rates amid Trump's talks about the future of NAFTA and Poloz's rumblings about likely hikes in rates. Companies that are going to be seeing their loans maturing in 2019 or 2020 have been scrambling to ensure their rates stay at the current level.
There is no doubt that this year's plans in the corporate realm in Canada were out the window with U.S. tariffs on aluminum and domestic steel. That, coupled with NAFTA rumblings, slowed deal-making down. The slow-down in the business sector was fueled by lack lustre deals in the financial services and energy sectors which ordinarily are ripe for the inking of deals.
Two days are never the same in Canada's business and commercial sector. Entrepreneurs and investors who have an interest in making deals would likely fare better knowing how legalities could affect any potential deals and how outside forces may create an impact on those deals. A lawyer may have the answers to those complicated questions that accompany the corporate world.