Broad losses for TSX amid geopolitical fears... CRA wants $75 million back from TFSAs... Manufacturing appears to have cooled...
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Broad losses for TSX amid geopolitical fears
There was a global feeling of negativity Tuesday as world stock markets pulled back following North Korea’s missile launch towards Japan, President Trump calling for China to do more, and the G20 meeting later this week.
Canada’s gold miners saw some gains as investors opted for the safe haven but the longer-term trend has been weak. Materials was the largest drag on the main TSX index but all 10 sector groups closed lower.
Wall Street was closed for July 4th but European and Asian markets were broadly lower.
The S&P/TSX Composite Index closed down 51.58 (0.34 per cent)
The Dow Jones was closed for Independence Day
Oil is trending (Brent $49.68, WTI $47.08 at 4.20pm)
Gold is trending higher (1223.00 at 4.20pm)
The loonie is valued at U$0.7729
CRA wants $75 million back from TFSAs
Investors in tax-free savings accounts must repay $75 million due to audits by Canada Revenue Agency.
The CRA says that the demands result from non-compliance of the rules on TFSAs and includes over-contributing which triggers additional taxation and those accounts that appeared to be carrying on a business such as day-trading.
The issue of active trading is a concern to financial advisers who may be trading with the accounts.
“Financial advisers, who are actively trading in their TFSA, would certainly be at a higher risk than the average person, ”Jamie Golombek, managing director of tax and estate planning at CIBC Wealth Strategies Group, told The Globe and Mail.
He added that it would depend on the volume of trades and how long the securities were owned.
Manufacturing appears to have cooled
Canada’s manufacturing sector’s growth has eased according to PMI data from Markit.
The data released Tuesday shows a 4-month low for the sector as home demand weakened. Export orders remained strong though with sales to the US boosted overall exports to their highest level since late 2014.
Despite the latest reading, Markit Canada says manufacturers are optimistic.
There was a global feeling of negativity Tuesday as world stock markets pulled back following North Korea’s missile launch towards Japan, President Trump calling for China to do more, and the G20 meeting later this week.
Canada’s gold miners saw some gains as investors opted for the safe haven but the longer-term trend has been weak. Materials was the largest drag on the main TSX index but all 10 sector groups closed lower.
Wall Street was closed for July 4th but European and Asian markets were broadly lower.
The S&P/TSX Composite Index closed down 51.58 (0.34 per cent)
The Dow Jones was closed for Independence Day
Oil is trending (Brent $49.68, WTI $47.08 at 4.20pm)
Gold is trending higher (1223.00 at 4.20pm)
The loonie is valued at U$0.7729
CRA wants $75 million back from TFSAs
Investors in tax-free savings accounts must repay $75 million due to audits by Canada Revenue Agency.
The CRA says that the demands result from non-compliance of the rules on TFSAs and includes over-contributing which triggers additional taxation and those accounts that appeared to be carrying on a business such as day-trading.
The issue of active trading is a concern to financial advisers who may be trading with the accounts.
“Financial advisers, who are actively trading in their TFSA, would certainly be at a higher risk than the average person, ”Jamie Golombek, managing director of tax and estate planning at CIBC Wealth Strategies Group, told The Globe and Mail.
He added that it would depend on the volume of trades and how long the securities were owned.
Manufacturing appears to have cooled
Canada’s manufacturing sector’s growth has eased according to PMI data from Markit.
The data released Tuesday shows a 4-month low for the sector as home demand weakened. Export orders remained strong though with sales to the US boosted overall exports to their highest level since late 2014.
Despite the latest reading, Markit Canada says manufacturers are optimistic.
