Canadian Foreign Minister Chrystia Freeland. left, greets Mexico Secretary of the Economy Ildefonso Guajardo Villarreal, at the Canadian Embassy in Washington, Tuesday, Aug. 15, 2017.Manuel Balce Ceneta/The Associated Press
TOP STORIES
NAFTA's first round of talks will jump right into Chapter 19
After months of preparations, the NAFTA renegotiations begin today in Washington. The opening round of talks will move straight to some of the toughest subjects in the deal, including the Chapter 19 dispute-resolution provisions, The Globe and Mail has learned. And the two subjects that have been allotted the most discussion time over the first five days are investment, including Canada's attempt to roll back rules that allow corporations to sue governments, and the digital economy, a wide-ranging topic that includes a push by the United States for Canadian consumers to be allowed more duty-free crossborder online shopping. (For subscribers)
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Combative Trump insists there is 'blame on both sides' for clashes in Virginia
U.S. President Donald Trump insisted yesterday that last weekend's violence in Charlottesville, Va., should be blamed "on both sides." Just the day before, Mr. Trump called members of the KKK, neo-Nazis and white supremacists "criminals and thugs." Trump's advisers had hoped that these conciliatory remarks would help end a swell of criticism from Republicans and Democrats alike. But any progress was short-lived, as Tuesday's retorts appeared to equate the actions of white supremacist groups and those protesting against them.
What to expect at the NAFTA table
The amount of business at stake in NAFTA is colossal – $1.1 trillion (U.S.) last year alone. U.S. President Donald Trump triggered the talks, and argued that NAFTA has moved money and jobs out of the United States. As Mr. Trump aims to tilt the playing field toward the United States, Canada and Mexico will largely be playing defence. Their prime imperative is not to lose any market access. The Globe's Adrian Morrow details what will be on the table and who will be handling the negotiations. (For subscribers)
Canada's banking regulator reviewing risks of Big Six sales practices
The sales practices at Canada's six largest banks are coming under scrutiny in a review by the Canadian banking regulator. The review will focus on the risks that sales practices could pose to banks' reputations and financial health. The Financial Consumer Agency of Canada (FCAC) launched its own review of bank sales practices in April, promising to look closely at issues of consent, disclosure and sales incentives after media reports surfaced with anonymous allegations of improper behaviour at several Canadian financial institutions.
MORNING MARKETS
The U.S. dollar held on to big gains on Wednesday before minutes of the U.S. Federal Reserve's latest meeting, while European shares followed Asian stocks higher. Relative calm in the standoff between the United States and North Korea also lifted investors' appetite for riskier assets. Hong Kong's Hang Seng was up 0.86 per cent while Tokyo's Nikkei and the Shanghai composite were down slightly at 5 a.m. ET. In Europe, the FTSE 100 was 0.57 per cent higher while Germany's DAX was up 0.80 per cent. The Paris CAC was 0.99 per cent higher. New York futures were higher. The Canadian dollar was trading at 78.55 cents (U.S.). Brent crude oil rose 45 cents to $51.26 a barrel on a reduction in U.S. stockpiles.
WHAT EVERYONE'S TALKING ABOUT
Trump, NAFTA and Canada's mostly reasonable wish list
"The game is in the posturing phase and there is much more posturing to come. But if Ottawa doesn't get the environmental protections it wants, it won't be a deal breaker. Nor, for that matter, is Washington's demand to drop the current dispute-settlement mechanism. A compromise form of arbitration can be found. The run-up to the negotiations has worked out well for the Trudeau Liberals, thanks in part to their intense lobbying effort across the United States. All they have to worry about now is that an erratic President, tempestuous on trade, will veer off the rails. Which is a lot to worry about." – Lawrence Martin
NAFTA 2.0: Will our feminist government walk the equality talk?
"NAFTA must take into account all the ways women contribute to the economy, including those who work in supply chains, use public services and provide the vast majority of unpaid care and domestic work. By only focusing on women at the top, those at the bottom of the economic ladder lose out, which only reinforces these inequalities. A truly feminist approach to renegotiating NAFTA would ensure not only that women's rights organizations and experts are consulted and represented at the table during these key conversations, but that the entire process is carried out in a transparent and accountable way." – Francesca Rhodes
Should we travel to North Korea?
"Canada is in a unique position when it comes to North Korea. Despite being a combatant in the Korean War, Pyongyang does not view us in the same light as the United States. Like Mr. Lim, Canadians have been travelling to North Korea for the past twenty years and have saved lives and built capacity where the regime has failed to act. We cannot ignore the dangers of travelling to North Korea; but we cannot ignore the good that comes out of it as well. Pulling the plug when the North Korean people are still struggling to recover from a terrible famine that killed hundreds of thousands would not only be cruel, but would cut off one of the few avenues Canadians have to engage directly with the North Korean people." – Jack Kim
Coding for kids: another silly fad
"Computer code is basically a series of instructions that tell a computer to do something. It's irrelevant for most of us. There are a million apps for that. You don't have to understand code to understand computers, any more than you have to understand an engine system to drive a car, or indoor plumbing to use a toilet." – Margaret Wente
HEALTH PRIMER
Lack of sleep tied to higher risk of diabetes in kids
Each additional hour of sleep children get at night is associated with a lower body weight, more lean muscle mass and less accumulation of sugars in the blood, researchers report in Pediatrics. Obesity and elevated blood sugar are risk factors for Type 2 diabetes, which happens when the body can't properly use or make enough of the hormone insulin to convert blood sugar into energy. "These findings suggest increasing sleep duration could offer a simple, cost-effective approach to reducing levels of body fat and Type 2 diabetes risk early in life," senior study author Christopher Owen of St. George's, University of London, said by e-mail.
MOMENT IN TIME
The prime minister and the pie
Aug. 16, 2000: The smallest province managed to make big news with a pie to the prime minister's face on this day 17 years ago. Jean Chrétien was touring an agricultural exhibition in Charlottetown when a man stepped in front of him and landed a pie on one side of the prime minister's face. A shocked Chrétien pulled the pie plate from his face and RCMP officers bundled him into a nearby washroom. It was the third major security breach since he took office in 1993, and the RCMP acknowledged its failure in securing the prime minister's safety. Evan Brown, 23, was charged with assault in the incident. He claimed allegiance to a group calling itself the PEI Pie Brigade. When asked why he did it, Brown exclaimed, "It's a protest. It's a protest for students, a protest for people on welfare, a protest for social reform, Jesus Christ!" Chrétien was unhurt in the incident, presumably apart from a bruised ego. – Iain Boekhoff
Morning Update is written by Eleanor Davidson.
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