PICKUP IN CONFIDENCE BODES WELL FOR NASCENT RECOVERY

Canadian households are showing a new-found economic optimism, a good sign for the nation’s nascent recovery. After stalling at the end of June, sentiment around personal finances, job security, economic growth and real estate are all beginning to march higher again, polling shows. The Bloomberg Nanos Canadian Confidence Index, which has risen three points over the past two weeks to 49.8, has returned to the torrid pace of gains recorded early in the rebound and has now recovered about two-thirds of its pandemic losses. The pickup in household confidence is a welcome development, as policy-makers try to gauge the resiliency of the economic rebound. While the recovery from the deep downturn has been strong, there are worries the jump in activity will peter out.