North American equity markets are tracking towards a lower open, putting Wall Street on track for a losing week. Futures are lower across the board – call it the better part of half a per cent on the S&P 500 and Nasdaq Composite, closer to a quarter of a per cent on the blue chip Dow Jones Industrial Average. It’s more of the same themes we’ve been tracking all week, namely concerns over the interest rate path for the world’s most influential central banks, with U.S. Federal Reserve Chair Jay Powell’s reiteration the Fed sees rates somewhat higher by year’s end continuing to reverberate through the markets.  


It’s shaping up to be something of a game of chicken between the federal government and a pair of tech titans after Bill C-18 – the Online News Act – received Senate backing yesterday. The act, which would force the likes of Facebook parent Meta Platforms and Google owner Alphabet to compensate news organizations for linking to their stories, has found few friends in Silicon Valley, with Meta declaring it will end the availability of news on Facebook and Instagram once the law comes into effect (expected in some six months’ time.) Google, for its part, says it’s working toward avoiding such an outcome and will work with the government on a path forward (not to mention, the company has struck partnerships with a number of news outlets to continue linking to their articles.) It’s a delicate dance all around here – legacy media has been in structural decline as revenues erode, prompting the bill to funnel more cash to said outlets, but in fairness, links on social media do go back to the main pages of news organizations, which drives page views.


The hits just keep coming for what was once the Canadian cannabis industry’s flag bearer, with Canopy Growth posting a $648 million net loss in the fourth quarter. The company says that loss – an increase of $59 million from the same period a year ago – was driven by an increase in asset impairments and restructuring costs, which were partially offset by higher gross margins. If you zoom out for a moment to look at the full fiscal year, things are a bit more eye-popping, with the company posting a $3.3-billion net loss. It’s just another reminder of the carnage wrought in the once high-flying cannabis industry, which after some early euphoria has been beset by production overcapacity and a miss estimation of demand.    


  • Our Bloomberg News partners have a bit more colour on Larry Tanenbaum’s plan to sell part of his stake in Maple Leaf Sports and Entertainment, reporting the Ontario Municipal Employees Retirement System is nearing a deal to buy 20 per cent of Tanenbaum’s holding company (giving OMERS a five per cent stake in MLSE.)
  • Shares of Siemens Energy are tanking – down 34 per cent – after the company announced late yesterday that its seen a significant increase in the failure rates of its wind turbine components. 


  • Notable data: S&P Global PMIs
  • Notable earnings: CarMax
  • 0900: CarMax conference call to discuss earnings