Canada Small Business Sentiment Slows 📉
The CFIB's Business Barometer in Canada, a forward-looking index, fell in December 2024, indicating a slowdown in small business sentiment, with retail and hospitality sectors remaining below their long-term averages, while information, arts, and financial services sectors maintained strong momentum.
The drop in the CFIB's Business Barometer suggests a slowdown in the Canadian economy, which could have a moderate negative impact on the investment portfolio. The portfolio has significant exposure to the S&P 500, European, and Canadian markets, as well as sectors like retail and hospitality, which are expected to underperform. However, the portfolio also has exposure to sectors like information, arts, and financial services, which are expected to maintain strong momentum, potentially offsetting some of the negative impact.