Andrew Bell

Anchor, Reporter

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President Donald Trump’s speech to the U.S. Congress last night produced few hard details on his planned policies but investors are still taking him at his word that corporate tax cuts and infrastructure spending are on the way.

U.S. stock futures have moved higher after Trump promised "massive" tax relief for the middle class and tax cuts for companies.

Our coverage on BNN today focuses on the impact on Canada of Trump’s speech and plans, although investors didn’t get “much new meat to chew on,” CIBC economist Royce Mendes writes in a report to clients. “There was only a vague reference to the possibility of a border tax” and “no specifics” on corporate tax cuts. 

At 9:05 a.m. ET, we hear from the plugged-in John Baird, senior adviser at law firm Bennett Jones and former minister of foreign affairs. He reminded us in January that export-dependent Canada needs America far more than the United States needs us.

Meanwhile, Trump continues to alter political fault lines. In the past, for example, the Republicans have been pro-looser trade and against big investment by government. So “it was truly bizarre to see Republicans standing and cheering the passages on protectionism and infrastructure spending, but this is the change Trump has wrought in the party,” says conservative commentator Rich Lowry, editor of National Review.

The U.S. dollar hit a seven-week high against world currencies, up almost 1 per cent,  following hawkish comments from U.S. central bankers. William Dudley, the influential New York Fed president, said the case for hiking rates has become "a lot more compelling.” And San Francisco Fed president John Williams sees "no need to delay" an increase. 

GOING RATES

Speaking of borrowing costs, we get the Bank of Canada rate decision at 10 a.m. ET, with essentially no one expecting a cut. A slide in the loonie may have made life easier for Bank of Canada governor Stephen Poloz as he tries to stimulate the economy. Managing editor Noah Zivitz notes that the Canadian currency slipped as low as 74.97 cents (U.S.) overnight, the first time it has dropped below $0.75 since Jan. 20.

We’ll be joined for the announcement by Frances Donald, senior economist at Manulife Asset Management. Today, there’s no getting away from Trump, who has promised tougher terms for America’s trading partners. Donald says that for Poloz and his projections, “the elephant in the BoC's room will remain President Trump's plans for Canadian-US trade infrastructure.”

Low rates make it tough to get a decent return on fixed income in your RRSP. But there’s no point procrastinating any longer. Today is the deadline to make contributions to get a deduction for the 2016 tax year. CTV's chief financial commentator, Pattie Lovett-Reid, took your RRSP questions via Twitter yesterday.

PRIMERO EXEC SHUFFLE

Finally, on Commodities, at 11:40 a.m. ET, we’ll be joined by veteran mining executive Joseph Conway, who is temporarily returning as chief executive officer of Primero Mining (P.TO). The company, which said last month it was parting company with CEO Ernest Mast, has seen its stock drop 60 per cent in a year as investors fret about its strike-hit mine in Mexico.