![]() ![]() As long as everyone still has a job, there shouldn’t be a housing meltdown, but a meaningful jump in unemployment could trigger a sudden wave of properties hitting the market. Eventually, pundits expect listings to rise, as people with too much debt are forced to sell. This is hurting the demand side of the market.Īt the same time, households are trying to navigate rising living costs, along with a big jump in mortgage payments on variable-rate loans or higher rates on fixed-rate renewals. ![]() New buyers are sitting on the sidelines hoping for better prices. This is good news for the housing market that is already under pressure from soaring mortgage costs. The January jobs report, however, came in very strong, so there doesn’t seem to be much near-term risk to a wave of unemployment. If that happens, struggling households could be forced to default on mortgage payments. On the Canadian front, there are concerns that the tight labour market will reverse course, as companies cancel job listings, or even start trimming headcount to preserve cash flow as revenue begins to slide. The bank likely came under heavy pressure through most of last year due to rising fears that soaring interest rates designed to reduce the rate of inflation would push the Canadian and global economies into a steep economic downturn this year or in 2024. This is up more than 12% in 2023 but still way off the 2022 high of $95 per share. ![]() The shares trade neat $73.50 at the time of writing. Bank of Nova Scotia overviewīank of Nova Scotia is the fourth-largest Canadian bank with a current market capitalization of close to $87 billion. Investors who missed the recent rebound are wondering if more gains are on the way for BNS stock. In the first six weeks of 2023, however, Bank of Nova Scotia is off to a good start, as bargain hunters saw the share price as undervalued at the end of last year. Written by Andrew Walker at The Motley Fool CanadaĬanadian bank stocks had a rough ride through the 2022 market correction, and Bank of Nova Scotia ( TSX:BNS), in particular, fell out of favour with investors. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |