📈 Too hot to handle

Good Morning! 🎬 “Everything, Everywhere, All At Once” just took home the Oscar for Best Picture in a historic win. The movie follows a Chinese immigrant who explores other universes and connects with the lives she could have led. Could there be an alternate reality where we can get inflation under control? Probably, but it looks like we are all stuck in the reality where the economy continues to remain hot. Read on to get the latest.

MARKETS

*Stock data as of last market close; currency, oil and crypto data as of 10:00 PM ET March 13th, 2023.

Markets:  One of the largest banking collapses in U.S. history just happened. Silicon Valley Bank, the 16th biggest bank in the country and a major tech startup lender, imploded last week just days after it announced big losses. On Sunday New York-based Signature Bank also collapsed, making it the third-largest bank failure in U.S. history. Officials, including President Joe Biden are now calling for stronger banking regulations. Treasury Secretary Janet Yellen announced that there will be no federal bailout for the bank, but officials are working to ensure that all depositors will have access to their funds.

THE BIG STORY

Losing our cool: Canada’s Labour market is hot

Inflation could be a tougher nut to crack than previously thought.

Not long after the Bank of Canada (BoC) decided to hold the overnight rate at 4.50% rather than increase it to combat inflation, jobs data rolled in showing the job market is still running hot.

According to Statistics Canada, the Canadian economy gained a net 21,800 jobs in February, more than double what analysts forecast. The unemployment rate also unexpectedly stood its ground at 5.0%. And it’s not just Canada. The U.S. is seeing similar resilience.

The BoC is working to reduce the country's high inflation rate and is concerned that continual wage growth of 4 to 5% could impede efforts to achieve its 2% inflation target.

What economists are saying: While many experts aren’t convinced rate hikes will resume, some - like BMO Capital Markets’ Chief Economist Douglas Porter- believe that the country is just one hiccup away from the bank flipping its strategy back to hike mode. TD Bank senior economist James Orlando offered this insight into the bank’s strategy:

“Given that the BoC is in wait-and-see mode with its conditional pause, it believes that it is only a matter of time before a slowdown shows up in the broader economy. But with today’s labour market report, it will have to wait a little while longer.”

A dark horse emerges: The sudden collapse of 2 major banks in the U.S. has caused many to speculate that the central banks will have to stop, or even reverse, interest rate rises to prevent further collapses. With job numbers continuing to rise in North America, this puts central banks in a tricky spot when trying to tame inflation.

The bottom line: What will happen next? The Bank of Canada will make its latest rate announcement on April 12. And in the meantime, we will see how the banking collapse crisis in the U.S. unfolds and what other ripples it sends out into the financial system.

NEED TO KNOW

The week's headlines

🪚 B.C.’s first female Red Seal carpenter spoke with SiteNews about the severe harassment she faced while training in the 1970s and early 1980s. Marcia Braundy, a lifelong feminist and activist, also went on to establish groups that support other tradeswomen, got a PhD and even was an advisor to the federal government.

⚒️ Ontario is giving young people more options to begin trades training. Those in grade 11 can now transition into full-time, skilled trades programs while also earning high school diploma credits.The province is also planning consultations with employers, unions, education stakeholders, trainers, parents, and others to make further improvements.

🏗️ The Independent Contractors and Businesses Association (ICBA) announced it is expanding its services in Alberta. ICBA Alberta will focus on advocacy, group health benefits, training, and wellness programs designed for Alberta’s open shop contractors, builders, and entrepreneurs.

🪠 PCL and design consultant AECOM have identified significant deficiencies in the previous design and construction work at Vancouver’s North Shore wastewater treatment plant project that could add tens of millions more to its cost. PCL was hired to review the project after it was abandoned by Acciona Wastewater and already faced significant delays and cost increases.

PROJECT SPOTLIGHT

Calgary’s biggest project ever

Green machine: This $5.5 billion project is the largest in Calgary’s history. Phase 1 connects to four MAX BRT routes and the Red and Blue LRT lines and builds the foundation for extensions to the north and south, as funding is made available. Construction is expected to ramp up in 2024 and be completed in approximately six years. Officials say the project is critical as the city grows. As of January, Calgary is at 80% pre-pandemic ridership levels. Earlier this year, a consortium led by SNC-Lavalin was awarded the delivery partner contract for Phase 1.

PROJECT UPDATES

Trans Mountain project cost estimates have ballooned once again, hitting $30.9B

$39M children's mental health hospital to open in Calgary

Winning design chosen for St. Lawrence Centre for the Arts 

Vancouver developer Strand launches leasing for mixed use project in Mount Pleasant

McCain to spend $600M expanding Alberta processing facility

WHAT WE’RE TALKING ABOUT

LISTEN: 🦾 SiteNews talks AI during podcast at Buildex

READ: 🚽 Ontario investigates jobsite bathroom conditions

OPINION: 🏢 Japanese architect advocates for fewer buildings

READ: 🚔 Charges laid after probe into Toronto hospital redevelopment

POLITICS: 💵 Alberta builders applaud move to expand prompt payment

SITENEWS SWAG

Manitoba winters are wicked and cold but they are no match for SiteNews subscriber Dom Costantini, an 18-year veteran of Bird Construction. His feet are staying nice and warm in our glorious socks. You too could be this cozy. Just sign up five new subscribers using the link below and we will send you some your way!

Here's to a great rest of the week!