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Canada Is In a Recession — What It Means for Your Money

It's official. Canada has entered a technical recession for the first time since 2020 — and it happened faster than almost any economist predicted. Statistics Canada confirmed Friday that the economy shrank for a second consecutive quarter, with Q1 2026 posting a 0.1% annualized contraction, following a 1.0% drop in Q4 2025. Forecasters had been expecting 1.5% growth . The surprise is significant. So what does this actually mean for everyday Canadians? Your job, your mortgage, your savings, your debt — we break it all down. −0.1% Q1 2026 GDP (annualized) −1.0% Q4 2025 GDP (revised down) 2.25% Bank of Canada overnight rate 2.8% Canada inflation rate (April) "Most businesses are basically in a holding pattern, treading water, hoping for brighter days." — Dan Kelly, President, Canadian Federation of Independent Business 📉 Wait — Is This Really a Recession? The term "technical recession" means two consecutive quarters of negative GDP growth on an annualized basi...

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Ishiba Stands Firm Amid Resignation Rumors Following Election Setback

Japanese Prime Minister Shigeru Ishiba has firmly denied reports suggesting he plans to resign, despite mounting pressure after his ruling coalition suffered a historic defeat in the recent upper house election.

Speaking at Liberal Democratic Party (LDP) headquarters on Wednesday, Ishiba dismissed media claims that he would step down by the end of July, calling them “completely unfounded.” He emphasized his commitment to ensuring the proper implementation of a newly announced trade agreement with the United States, which lowers tariffs on Japanese auto exports and spares Tokyo from additional levies.

The speculation about Ishiba’s resignation intensified after the LDP and its junior coalition partner, Komeito, lost their majority in the 248-member upper house—compounding an earlier loss in the more powerful lower house last October. The dual setbacks have left the government without a majority in either chamber, complicating its ability to pass legislation and deepening political instability.

Despite calls from within his party to step aside, Ishiba insists that stepping down now would create a political vacuum at a critical moment. “I will stay in office and do everything in my power to chart a path toward resolving these challenges,” he said during a press briefing.

While some media outlets continue to report that Ishiba may resign after key national events in August, including commemorations of World War II and an international development conference, the prime minister has reiterated that no such decision has been made.

The coming weeks are expected to be pivotal for Ishiba’s leadership, as he navigates internal party dissent, public dissatisfaction, and the implementation of the U.S.-Japan trade deal.

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