Cirque du Soleil's founder detained in Tahiti for growing cannabis - CBC.ca

Quebec billionaire and Cirque du Soleil co-founder Guy Laliberté has been detained for growing cannabis on his private island in French Polynesia.

Prosecutors in Papeete, the capital city, confirmed to Agence France-Presse that Laliberté is in custody in Tahiti.

Laliberté was appearing before a magistrate Wednesday who will determine whether the drugs were being trafficked. The process was expected to last about four hours. 

His lawyer, Yves Piriou, said he was confident Laliberté would be released following his appearance, possibly with conditions. It was unclear whether Laliberté will be charged.

In French Polynesia, an overseas territory of France, it is illegal to grow, consume or traffic cannabis, according to a spokesperson for the Gendarmerie de Polynésie française, the national police force.

A few weeks ago, local authorities intercepted someone close to Laliberté for the possession of cannabis and found pictures of plantations on his mobile phone.

This is the main swimming pool in front of the 16 villas on Nukutepipi. Laliberté transformed the island into a luxurious destination for billionaires. (Mike Leyral/AFP via Getty Images)

Laliberté's company, Lune Rouge, issued a statement on his behalf, saying he uses marijuana for medical reasons, and grows and consumes the cannabis on Nukutepipi, his private island, for his own personal use.

Laliberté "categorically denies and dissociates himself completely from any rumours implicating him in the sale or the traffic of controlled substances," the statement said.

The Canadian government's travel website states that in French Polynesia, "penalties for possession, use or trafficking of illegal drugs are severe. Convicted offenders can expect jail sentences and heavy fines."

Laliberté co-founded Cirque du Soleil, an international circus company, in 1984.

The Montreal-based company sold a majority stake to an investment group led by global investment firm TPG in 2015, but Laliberté maintained a stake in the business, and continues to provide strategic and creative input.

from Business - Latest - Google News https://ift.tt/32KrKNB
via IFTTT
November 13, 2019 at 05:29PM

Union representing SkyTrain workers considers possible strike action - Vancouver Is Awesome

SkyTrain in Vancouver/Shutterstock

CUPE Local 7000, the union representing 900 SkyTrain workers, says negotiations with the BC Rapid Transit Company (SkyTrain) have reached a deadlock.

CUPE Local 7000 says that there have been more than 40 sessions at the bargaining table since the beginning of May, and that talks broke down Tuesday, Nov. 12. It says that both sides were unable to reach an agreement on several key issues.

“The Company has failed to offer fair wages or address the sick plan, inadequate staffing levels, forced overtime, and other issues important to our members,” said CUPE 7000 President Tony Rebelo.

“We have been more than proactive and flexible in trying to reach solutions to improve the service, but the employer’s latest package failed to address the key issues. They are simply not interested in bargaining seriously, so we’re left with little choice but to go to our members and seek direction for next steps.”

CUPE 7000 represents approximately 900 SkyTrain workers who provide service as SkyTrain attendants and control operators as well as administration, maintenance, and technical staff.

Vancouver Is Awesome reached out to TransLink for comment and will update the story when they have provided comment.

from Business - Latest - Google News https://ift.tt/32Obj2x
via IFTTT
November 14, 2019 at 04:51AM

Alibaba's Hong Kong listing coming soon - CNBC - Seeking Alpha

[unable to retrieve full-text content]

1. Alibaba's Hong Kong listing coming soon - CNBC  Seeking Alpha
2. Alibaba Wins Exchange’s Approval for Mega Hong Kong Listing  Yahoo Canada Finance
3. Alibaba Filed Listing Application With Hong Kong Stock Exchange  Bloomberg Markets and Finance
4. Alibaba readies $13 billion Hong Kong listing before the end of November  CNBC
5. Wall Street slips on trade worries, Hong Kong unrest  Investing.com
6. View full coverage on Google News

from Business - Latest - Google News https://ift.tt/2NJJV1n
via IFTTT
November 13, 2019 at 10:46PM

Fed's Powell sees steady growth, signals pause in rate cuts - CBC.ca

Federal Reserve Chairman Jerome Powell indicated Wednesday that the Fed is likely to keep its benchmark short-term interest rate unchanged in the coming months, unless the economy shows signs of worsening.

But for now, in testimony before a congressional panel, Powell expressed optimism about the prospects for the U.S. economy and said he expects it will grow at a solid pace, though it still faces risks from slower growth overseas and trade tensions.

"Looking ahead, my colleagues and I see a sustained expansion of economic activity, a strong labour market, and inflation near our symmetric two per cent objective as most likely," Powell said in a written statement to Congress' Joint Economic Committee.

Fed policymakers are unlikely to cut rates, Powell said, unless the economy slows enough to cause Fed policymakers to make a "material reassessment" of their outlook.

The Fed cut short-term rates last month for the third time this year, to a range of 1.5 per cent to 1.75 per cent.

Trump attacks the Fed

Powell's testimony comes a day after President Donald Trump took credit for an "economic boom" and attacked the Fed for not cutting interest rates further. Powell and other Fed officials, however, argue that their rate cuts, by lowering borrowing costs on mortgages and other loans, have spurred home sales and boosted the economy.

"It now looks increasingly likely that the Fed will move to the sidelines for an extended period," Andrew Hunter, an economist at Capital Economics, a forecasting firm, said.

Recent data suggests that growth remains solid if not spectacular. The economy expanded at a 1.9 per cent annual rate in the July-September quarter, down from 3.1 per cent in the first three months of the year. The unemployment rate is near a 50-year low of 3.6 per cent and hiring is strong enough to potentially push the rate even lower.

Inflation, according to the Fed's preferred gauge, is just 1.3 per cent, though it has been held down in recent months by lower energy costs and most Fed officials expect it to move higher in the coming months.

Urges to lower federal budget deficit

Powell on Wednesday also urged Congress to lower the federal budget deficit so that lawmakers would have more flexibility to cut taxes or boost spending to counter a future recession.

"The federal budget is on an unsustainable path, with high and rising debt," Powell said. "Over time, this outlook could restrain fiscal policymakers' willingness or ability to support economic activity during a downturn."

Other Fed officials have voiced similar concerns. Patrick Harker, president of the Federal Reserve Bank of Philadelphia, said Tuesday that the large deficit, and the constraints it imposes on Congress in the event of a recession, "is one of the things I do lose sleep over."

Powell also noted that with the Fed's benchmark rate at historically low levels, the central bank will have less room to manoeuvre whenever the next downturn arrives.

The Fed is exploring an alternative policy framework, Powell said, that it hopes will provide more flexibility. In typical recessions, the Fed cuts short-term rates by roughly five percentage points.

Powell's testimony comes after many Fed officials in the past two weeks have voiced support for the Fed's recent moves and expressed confidence in the economy. That contrasts with the Fed's previous meetings when as many as three officials dissented.

Neel Kashkari, president of the Federal Reserve Bank of Minneapolis, said in an interview on CNBC last week that "if the economy continues to perform as we expect" than the Fed is likely done cutting rates. Kashkari is one of the most dovish officials on the Fed's 17-member policymaking committee, though he doesn't have a vote this year.

John Williams, president of the Federal Reserve Bank of New York, and several other Fed officials last week said that the three cuts have left the benchmark interest rate low enough to support growth.

Analysts predict steady rates

Most analysts forecast that the Fed will hold rates steady when it meets next month. But some economists expect growth will slow in the coming months and the Fed will likely have to cut again next year.

Sal Guatieri, a senior economist at BMO Economics, says Powell "stayed true to the patience script" by indicating that that the Fed's key policy rate is likely to remain unchanged for an extended period unless economic risks increase.

Andrew Hunter, senior U.S. economist at Capital Economics, said Powell's testimony on Wednesday indicated that a rate cut at the Fed's next meeting in December was unlikely. Hunter said he believed Fed officials have been encouraged by more hopeful news on the U.S.-China trade talks.

from Business - Latest - Google News https://ift.tt/2q1vCwr
via IFTTT
November 13, 2019 at 09:36PM

Province not ready to accept closure of Brunswick Smelter, loss of 420 jobs - CBC.ca

Premier Blaine Higgs will meet with Glencore Canada Corp. officials Wednesday night to discuss the company's plan to close the Brunswick Smelter in northern New Brunswick by Christmas, putting 420 employees out of work.

"We're not at this point prepared to completely throw the towel in," Post-Secondary Education, Training and Labour Minister Trevor Holder told reporters during a hastily called news conference.

The government doesn't want to create a false sense of hope, he stressed. 

"But we have more questions than answers right now.

'We want to make sure we understand what is exactly going on and why now."

A shock for workers

News of the immediate decommissioning and impending closure of the Belledune plant stunned many of the employees.

"We had no anticipation of the closure whatsoever," said Royce McDonnell, an industrial mechanic for 36 years.

He said the decision left workers and residents in the village of 1,400 upset and in disbelief.

"We ran for 53 years and we've had struggles over the years, but we always managed to come out of it."

Glencore cited poor business results and financial forecasts when it announced the closure. 

Unionized workers, who represent more than half of the smelter's employees, have been off the job since April 24 in a contract dispute that included safety concerns.

Plant wasn't making money

But the contract dispute is unrelated to the decision to close, spokesperson Alexis Segal told CBC News.

"We need to be very clear that the plant was not making money for the last three years," he said. "In fact, the plant lost in average over the last three years $30 million per year.

"And after this last budget cycle it was evident that things would not be improved in the coming years either."

About 100 supporters of Brunswick Smelter's unionized employees gathered outside of the processing plant last month, yelling 'scab' as a car left the smelter's gated yard. (Tori Weldon/CBC)

The smelter has been "uneconomic" since the 2013 closure of the Brunswick Mine, which produced zinc and lead, said Chris Eskdale, head of Glencore's zinc and lead assets.

"We have thoroughly assessed all our options and come to the unavoidable conclusion that the smelter is simply not sustainable, regardless of the recent labour dispute," he said in a statement.

Glencore had planned to spend up to $64 million on an acid plant at the smelter. The first phase, worth about $20 million, was completed, but the project was cancelled in August amid the dispute.

'It hurts'

Employees and the United Steelworkers union were informed of the closure Wednesday morning.

"Today is not a good day for us," said Paul Daigle, who has worked at the smelter for 11 years. He said he feels "let down" and "disappointed."

"It's going to be hard on us."

Terry McInnis wonders where else he'll be able to find work at age 63. (Radio-Canada)

"It hurts," said Terry McInnis, who has also worked at the plant for 11 years.

"It's hard on the heart. It's very hard on your system, you know, mentally, physically. It's discouraging.

"Now what am I going to do at 63, 64 years old to try to find a job? I'll have to go out West. There's nothing here."

McDonnell, who sits on the negotiating committee, thought the meeting earlier in the day at the Best Western in Bathurst was going to be about a forced vote to go back to work.

He expects some workers will qualify for early retirement but said many of them are young, have been hired within the past 10 years, have mortgages and are starting families.

"It's unfortunate … especially so close to Christmas."

Support for workers

Glencore will provide pension, severance and outplacement support services for all employees.

It will also seek potential relocation opportunities at its mining and metallurgical operations in other provinces and countries, the statement said.

Glencore's companies employ about 158,000 people, including contractors.

Eskdale described the decision to close the Brunswick Smelter as "a very difficult one."

The company will work closely with employees, unions and community stakeholders to mitigate the impact as much as possible, he said.

10 to stay on for decommissioning

A maximum of 10 employees will be kept on for the decommissioning process, which could take a few years, including land reclamation and cleaning, officials said.

The union has called the work disruption a lockout, but the company said that because employees were paid until the strike deadline, it was a strike.

The union gave a 72-hour strike notice, but on April 24 — 14 hours before the deadline — the 281 unionized employees were sent home, with pay.

The last contract expired in February 2019.

from Business - Latest - Google News https://ift.tt/2qeHPxN
via IFTTT
November 13, 2019 at 10:08PM

Fed’s Powell says interest rates will be on hold absent a material deterioration in economy - MarketWatch

Getty Images

Fed Chairman Jerome Powell warned lawmakers that fiscal policy would be needed to support the economy in any downturn.

Federal Reserve Chairman Jerome Powell on Wednesday told Congress that interest rates are on hold absent a material deterioration of the economy.

“We see the current stance of monetary policy as likely to remain appropriate as long as incoming information about the economy remains broadly consistent with our outlook of moderate economic growth, a strong labor market, and inflation near our symmetric 2% objective,” Powell said, in remarks prepared for delivery to the Joint Economic Committee of Congress.

“Of course, if developments emerge that cause a material reassessment of our outlook, we would respond accordingly. Policy is not on a preset course,” he said.

The Fed has cut interest rates in three quarter-point moves since July, putting the Fed’s benchmark federal funds rate in a range of 1.5%-2%.

Powell said this provides “some insurance” against “noteworthy risks” of sluggish growth abroad and “trade developments,” or the uncertainty caused by the Trump administration’s trade fights with China and other major trading partners.

The Fed is also worried about a lingering sense of Americans that inflation will be low going forward, he said.

Read: U.S. consumer prices rise most in 7 months on higher gas prices

Low inflation expectations have been a leading factor in the weak outlook for Japan and European economies.

“We will continue to monitor these developments and assess their implications for U.S. economic activity and inflation,” he said.

Powell told the lawmakers that fiscal policy would be needed to support the economy in any downturn.

He warned that the long-term federal budget “is on an unsustainable path.” This might hamstring fiscal policymakers’ willingness and ability to help in any recession, he said.

Powell told the committee that the overall level of vulnerabilities facing the financial system “has remained at a moderate level.”

Investor appetite for risk is elevated in some asset classes, he said. Debt loads of businesses is historically high but the ratio of household borrowing to income is low relative to pre-crisis level and has been gradually declining in recent years, he said.

Stocks DJIA, -0.06%  were set to open broadly lower on Wednesday after President Donald Trump offered no hints on the timing of an eagerly anticipated “phase one” pact with China.

from Business - Latest - Google News https://ift.tt/3710OMS
via IFTTT
November 13, 2019 at 09:32PM

A Bear's Guide To Oil Markets - OilPrice.com

Oil trades have not exactly shot the lights out this year. With the bulls getting kicked more times than a pigskin at the Super Bowl in a highly fickle market, bears are once again taking the lead in oil markets. 

After a strong start to the year, oil prices have merely been treading water since late April following a perfect storm of unceasing trade tensions, lackluster demand growth and growing US commercial inventories that have dampened the outlook.

The outlook has improved somewhat over the past few weeks after the U.S. and China agreed to an interim trade deal, though niggling uncertainties coupled with ongoing supply worries appear to be capping gains. 

Right now, the markets are approaching a key resistance area on the weekly charts with trade news causing volatile price swings. 

As the two nations close in on a ‘phase one’ deal, the biggest bargaining chip that will determine whether the 16-month trade spat will ever be fully resolved depends on whether Trump will agree to roll back some tariffs.

As things stand right now, it would be a stretch to say the oil market is nearly out of the woods. 

There are some serious risks and overhangs that could still do plenty of damage even in the event that the two nations finally come to a compromise. 

#1 US Shale Boom Continues

The one thing that’s giving the oil bear its loudest roar is the ongoing U.S. shale boom. 

Ok, there’s been all this talk about the second shale boom circling the drain with the ongoing rig count collapse serving as a smoking gun. But here’s the rub with that idea: A third shale boom appears to be on the cards already. Related: A Bull’s Guide To Oil Markets

Notably, OPEC is decidedly bearish about the future of the market citing US shale. In the cartel’s annual outlook report for 2019, it notes that oil accounts for 35 percent of global energy supply while also adding that OPEC supplies 35 percent of the world’s oil. OPEC says it expects the U.S. shale boom to continue full steam ahead, with our light tight oil accounting for the majority of new global production over the next five years.

It’s the figures that are shocking: OPEC has projected that U.S. tight oil output will balloon by another 5.3 million b/d and take the country’s production to 17.5 million b/d in the period ending 2030. Spread out evenly, that works out to an increase of 482,000 million b/d every year over the next 11 years. While not exactly earth-shattering, it’s still big enough to roil the markets, especially considering the weak demand growth projections for the next few years.

But it’s not just US shale that the bulls have to worry about. The New York Times has warned about a deluge of new supply coming from Canada, Norway, Brazil and Guyana.

#2 Iranian Sanctions Lifted

This is another huge supply overhang that may actually be deadlier than the US shale boom.

As we reported in a previous article, the EU is desperate to strike a new nuclear pact with Iran since it sees it as a key component of both regional and global security.

The Europeans have poured lots of cash into ensuring the nuclear deal stays afloat. They have even put up a safeguard to keep money flowing to Tehran, though it has hardly been very effective. The whole idea is to protect European companies doing business in Iran from Trump’s sanctions, though many remain wary of being shut out of the even more lucrative American market.

Trump’s maximum-pressure strategy has generated even greater regional instability in the Middle East and led to a loss of US credibility in Europe. However, POTUS has expressed optimism about striking a new Iran deal that was first mooted by British Prime Minister Boris Johnson. 

A new deal would possibly mean lifting some sanctions and could mean more Iranian oil hitting the markets. 

In June, Reuters reported that Iranian oil exports had dropped to just 100,000 b/d; that figure could quickly balloon to 2.5 million b/d if Trump decided to grant Tehran its wish.

Helima Croft of RBC Capital Markets has warned that a return of Iran to the oil markets could create a huge supply overhang and could see WTI prices drop as low as $50 per barrel.

#3 No China Deal

Last week, reports emerged that Washington and Beijing had agreed on an interim trade deal involving a phased rollback of tariffs. A day later, Trump backtracked and declared that he had not agreed to any tariff rollbacks.

It’s this kind of double-speak that makes you question how genuine either sides is at making any sort of comprehensive deal. 

Indeed, Wall Street sees gloomy prospects of anything beyond a Phase One deal happening anytime soon, and has warned that something more solid will be required for market sentiment to improve definitively.

According to the Institute of International Finance, the trade war has led to a “synchronised economic slowdown,” including falling imports. A nebulous trade pact just won’t cut it as far as repairing the damage goes.

#4 Weak Global Economy

The stream of bearish projections by OPEC seems to be eternal. 

The 14-member organization now says it expects demand for its oil to be weaker-than-expected, which bodes really badly for a market that’s going to see more of the commodity coming in in a few short years.

OPEC sees oil demand clocking in at a mere 32.8 million barrels per day (mb/d) by 2024, substantially lower than the 35 mb/d it had projected last year.

The long-term outlook is a bit brighter, with OPEC projecting demand growth of 12 mb/d over the next two decades. Related: The Cure For Low Gas Prices Is Low Gas Prices

OPEC has been wrong in the past, and oil bulls can only hope that this is again the case this time around.

It’s not peak oil anymore. It’s peak oil demand. 

Even the much-awaiting IPO prospectus for Saudi Aramco is flagging peak oil demand risk within 20 years. Just a short while ago, Saudi Arabia was dismissing any idea of peak oil demand as highly exaggerated. 

The Bears Have It Made

Source: WTI Oil Chart by TradingView

Source: Brent Crude Oil Chart by TradingView

Nymex crude oil prices are firmer today and trading around $57/barrel, but there’s a lot raining on that parade. 

Not only do we have the U.S.-China trade war, but rising tensions amid protests in Hong Kong are weighing down on this. Hong Kong will absolutely affect a U.S.-China trade deal in one way or another. 

And then, overnight, Federal Reserve Vice-Chairman Richard Clarida noted that very low global inflation levels are presenting problems for the world’s major central banks. In other words, it’s hindering their ability to stimulate economic growth. 

This comes with another nod to U.S. shale by a U.S. Energy Department official who highlighted that U.S. shale oil production will reach 13 million barrels per day next month. 

So, a lot of news expected even later today to further bolster the bearish stance on oil, including more U.S. economic data.

By Alex Kimani For Oilprice.com

More Top Reads From Oilprice.com:

from Business - Latest - Google News https://ift.tt/2Qk2pXY
via IFTTT
November 13, 2019 at 08:00AM