The week in Canadian markets is ending with a glaring buy sign for hard assets like metals and real estate due to inflation concerns amidst a worldwide energy squeeze.
The S&P/TSX Composite Index, with its heavy materials and energy components, has enjoyed a 2.36 per cent gain since Monday.
Additionally, interest rates on short term Canadian government bonds have almost doubled since September, reflecting the rising temperature of an economy roaring back to life.
As companies move closer to business as usual, it’s clear that oil, coal and natural gas producers are scrambling and failing to meet demand. With Brent crude reaching US$85 per barrel earlier today, the highest level since 2008, and U.S. crude futures up for an eighth straight week, it’s unclear exactly when output will be restored.
Until it is, manufacturers will continue paying higher prices for raw materials and passing those costs onto Canadians who can either accept the mark-up or endure longer waits for autos, homes, appliances and fully-stocked supermarket shelves.
The Bank of Canada’s view on inflation remains tempered by an aversion to short-term predictions. While officials agree that it will stay above 2 per cent into 2022, there is reluctance to buy into the recessionary doom-and-gloom, remembering that the global capitalist industrial complex was at a standstill a mere 18 months ago.
While there will surely be more headaches affecting Canadians – Christmas presents chief among them as winter grows near – the economic dynamics at play are in essence old news. Prices are supposed to rise when demand outpaces supply, and while that is certainly happening in certain sectors, the effect has not been widespread.
Canadians’ main concern, above all else, is the possibility of a new COVID wave interrupting the everyday joys we’ve been able to return to. And unlike international industrial crises, you and I have all the tools we need to fortify our health and safety moving forward.
The top five stories this week – in mining, technology, consumer and cryptocurrency – show that our readers are taking an expansive view of the investment opportunities on offer in a world just getting back on its feet.
Rock Tech Lithium (TSXV:RCK) plans to build Europe’s first lithium converter
Rock Tech Lithium is planning to build Europe’s first lithium converter in Brandenburg Germany.
With its long industrial tradition and existing infrastructure, the region offers the best conditions for becoming a central component of the battery value chain.
The planned total investment volume at the Guben site for all factory units is up to 470 million euros.
Production will total around 24,000 metric tonnes of lithium hydroxide per year, which corresponds to the volume needed to equip around 500,000 electric cars with lithium-ion batteries.
Rock Tech Lithium is up by 80.43 per cent over the past week trading at $8.24 per share as of 12:19 pm ET.
Empower Clinics (CSE:CBDT) to leverage Fobi’s (TSXV:FOBI) Wallet pass technology
Fobi AI has entered into an agreement with Empower Clinics to integrate its Wallet pass platform, Passcreator, into Empower’s Kai Care COVID-19 testing platform.
Empower customers will be able to receive test results directly to their mobile wallets in a safe and secure format.
Th agreement opens up potential advertising and data monetization options for both Empower and Fobi, including travel insurance and new testing products.
Fobi AI is down by 9.21 per cent over the past week trading at $2.76 per share as of 12:26 pm ET.
Empower Clinics is down by 1.19 per cent over the past week trading at $0.42 per share as of 12:18 pm ET.
Vaxil Bio (TSXV:VXL) demonstrates efficacy of anti-cancer candidate
Vaxil’s anti-cancer drug, E-selectin (P-Esbp), has shown encouraging results in an experiment with mice.
Preliminary results demonstrate that 70 per cent of animals (5/7) treated with a single dose of P-Esbp-DOX-FITC at day 4 post tumour implantation remain alive while 40 per cent (3/7) appear tumour free. This is compared to 1/6 and 0/6 animals alive in the alternate treatment and control arms.
The company will finalize its report – including in-vivo imaging – in the coming month and will share data when available.
Vaxil Bio is up by 5 per cent over the past week trading at $0.10 per share as of 12:21 pm ET.
Billy Goat Brands (CSE:GOAT) appoints Strother Simpson to its advisory board
Billy Goat Brands has appointed coffee expert Strother Simpson to its advisory board.
Simpson brings over 30 years of experience revolutionizing the cold-brew coffee market, including development work with Arizona Tea, Hershey, McDonald’s, Seattle’s Best, Starbucks, Wendy’s and Whole Foods Market.
The company remains focused on growing the KOLD product line into a market leader.
According to Technavio, the cold-brew coffee market is projected to reach US$1.37 billion by 2025.
Billy Goat Brands is down by 5.77 per cent over the past week trading at $0.24 per share as of 12:15 pm ET.
BIGG Digital Assets (CSE:BIGG) partners with LQwD FinTech (TSXV:LQWD)
BIGG has partnered with LQwD FinTech for liquidity, compliance software and Bitcoin Lightning Network functionality.
Netcoins, BIGG’s wholly-owned subsidiary, will serve as LQwD’s preferred liquidity provider.
BIGG’s Blockchain Intelligence Group will provide LQwD with a suite of institutional and government-grade compliance software.
Netcoins will also establish a node on the Bitcoin Lightning Network via LQwD’s proprietary Lightning Platform-as-a-Service software.
BIGG Digital Assets is down by 9.49 per cent over the past week trading at $1.24 per share as of 1:03 pm ET.
LQwD FinTech is up by 15.38 per cent over the past week trading at $0.45 per share as of 12:37 pm ET.
We’ll see you next Friday afternoon for a look back at the week that was in the Canadian markets.
