A trade war with the US will hinder economic performance in Canada this year. Ad spending overall is expected to lose the momentum gained in 2024. But many digital formats will benefit from the emphasis on return on ad spending.
The news: Hims & Hers will soon expand its business to Canada, where it plans to sell generic semaglutide. The bottom line: Novo just gave a massive gift to healthcare companies that are in the weight loss drug market but can no longer sell compounded GLP-1s now that the brand-name versions are available again. We鈥檒l likely see more players in this space that primarily operate in the US expanding north of the border, while others could take advantage of President Trump鈥檚 executive order that calls for the FDA to authorize more states to import lower-cost drugs from Canada.
Canada鈥檚 trade war with its largest trading partner is underway. While uncertainty remains around the scope and depth of US tariffs, Canadian brands and retailers need to rebalance a heavy reliance on US-based customers and suppliers.
The news: Despite lingering uncertainty from tariff wars, five of Canada鈥檚 Big Six Banks beat analyst expectations in Q3 2025, per Bloomberg.
Our take: Strong Q3 results provide a critical opportunity for Canadian banks to proactively fortify their balance sheets against known future risks. While lower loan loss provisions signal a better credit environment, the lingering threat of rising unemployment means this may not last. Banks should use this period of outperformance to conservatively build reserves, tighten lending standards for higher-risk clients, and prioritize stability and risk management over short-term loan growth.