![](https://www.ctvnews.ca/polopoly_fs/1.6978649.1722015109!/httpImage/image.jpg_gen/derivatives/landscape_800/image.jpg)
Missing 3-year-old boy found dead in creek in Mississauga, Ont.: police
A three-year-old boy has been found dead a day after he went missing in a park in Mississauga, Ont., Peel police say.
Canada is headed for a recession in early 2023, according to one economist.
"I don't think that we're in a recession just yet, but I do think that one is on the horizon," David Doyle, the head of economics at Macquarie Group, told BNN Bloomberg. "Our baseline is that Canada will enter a recession in the first quarter of 2023."
Macquarie Group, an Australia-based global financial services provider, estimates Canada will face an approximately three per cent contraction in gross domestic product (GDP) and a five per cent rise in its unemployment rate during the predicted recession.
"We actually think it will be pretty severe in Canada," Doyle said. "I think the die has been cast on this front. Because inflation has become so elevated, and unemployment was allowed to fall so low, I think a recession is almost inevitable at this point."
According to new data from Statistics Canada, the Canadian economy grew by a modest 0.1 per cent in July. Their estimates, however, show economic growth stagnating in August, when the annual inflation rate reached 7.0 per cent, down from a high of 8.1 per cent in June.
"I think what you're seeing is that the economy is stalling after having that significant boost from reopening earlier this year," Doyle explained. "I think it's appropriate to think that there's further slowing ahead, even after what looks to have been a very soft third quarter."
Canada's cooling housing market will play a significant role in that slowing, Doyle added. The latest Statistics Canada figures show output from real estate agents and brokers dropping 3.4 per cent in July, down for the fifth consecutive month. Doyle expects the trend to continue.
"Typically, you see housing start to weaken as you head into a recession," Doyle said. "We're certainly seeing ample signs of that."
Aimed at fighting inflation, the Bank of Canada raised interest rates to 3.25 per cent on Sept. 7, which has contributed to the cooling housing market. The increase followed a full percentage point hike in July, which was the largest single rate increase in Canada since August 1998. The Bank of Canada began hiking interest rates in March, after they fell to 0.25 per cent during the COVID-19 pandemic.
Economists widely predict the next interest rate hike will come on Oct. 26. Doyle thinks it could be the last.
"But it will likely be potentially six, nine, 12 months before we start to see the Bank cutting rates again," Doyle said. "That's because they'll want to be certain that they brought inflation under control."
Doyle believes there is a silver lining to the predicted recession.
"Often when you see a recession, it proves to be enough to bring inflation back down," he said.
With files from BNN Bloomberg
A three-year-old boy has been found dead a day after he went missing in a park in Mississauga, Ont., Peel police say.
Against the rainy Paris night sky, Celine Dion staged the comeback of her career with a powerful performance from the Eiffel Tower to open the Olympic Games.
On a tour of the wreckage at the Jasper townsite, Mayor Richard Ireland stopped at one house, the charred remains of which had collapsed into the basement. It was his home.
An Irish museum will withdraw a waxwork of singer-songwriter Sinéad O'Connor just one day after installing it, following a backlash from her family and the public, it told CNN in a statement on Friday.
A Winnipeg senior is getting soaked with a six-figure water bill.
Nearly two weeks after Donald Trump's near assassination, the FBI confirmed Friday that it was indeed a bullet that struck the former president's ear, moving to clear up conflicting accounts about what caused the former president's injuries after a gunman opened fire at a Pennsylvania rally.
Orillia OPP arrested and charged a driver with impaired driving after flashing their high beams.
A powerful Mexican drug cartel leader who eluded authorities for decades was duped into flying into the U.S., where he was arrested alongside a son of Joaquin "El Chapo" Guzman, according to a U.S. law enforcement official familiar with the matter.
The lawyer for a former judge whose claims to be Cree were questioned in a CBC investigation says his client is not considering legal action against the broadcaster after the Law Society of British Columbia this week backed her claims of Indigenous heritage.
As fire threatened people in Jasper National Park, Colleen Knull sprung into action.
Video posted to social media on Thursday morning appears to show the charred remains of a Jasper, Alta., neighbourhood.
A Saskatchewan-born veteran of the Second World War was recently presented with France's highest national order.
A local First Nations elder and veteran is helping to bring the Ojibwe language to a well-known film for the first time.
A cat who fled her Montreal home nearly a decade ago has been reunited with her family after being found in Ottawa.
A woman in Waterloo, Ont. is out thousands of dollars for a car crash she wasn’t involved in.
A swarm of bees living in a lamppost in Winnipeg’s Sage Creek neighbourhood has found a new home for its hive.
Around 100 acres of Manitoba Crown Land near the Saskatchewan border is being returned to the Métis community.
Nova Scotia is suspending the licensed Cape Breton moose hunt for three years due to what the province is calling a “significant drop” in the population.