Japan's GDP falls by record amount

Japan's gross domestic product shrank by four per cent in the first quarter, the largest reduction in its history, according to new figures released Wednesday.

The Japanese government said the world's second-largest economy contracted mainly because of the obliteration of the country's export sector and the private sector's unwillingness to invest.

Japan's Cabinet Office released GDP figures for the January-to-March period that showed an impressive 26 per cent drop in the country's exports compared to the previous three months.

Canada's housing market to fall by double-digits in '09: CMHC

Canada's housing market should fall substantially in 2009 because a faltering economy likely will suppress how many new homes are built and existing homes are traded, according to a report released Tuesday.

The Canada Mortgage and Housing Corporation said that the number of new residential starts across Canada will drop in 2009 by 33 per cent while existing home sales nationwide will tumble by 17.5 per cent.

The Crown agency released the figures in its second-quarter market analysis.

GM Canada plans to cut 40% of its dealer network

GM Canada began notifying dealerships Wednesday of its plans to reduce its network by 40 per cent as it works to have a restructuring plan ready by the end of the month to secure aid from the U.S. and Canadian governments.

GM said it began notifying those of its 709 Canadian dealers that will not have their sales and service agreements renewed when they expire in October 2010.

A company spokesman said 245 dealers are being told they are being let go, with more consolidation and attrition to come.

Annual inflation rate eases to 0.4% in April

Lower energy costs helped Canada's annual rate of inflation cool in April to 0.4 per cent, down from the 1.2 per cent 12-month increase in March.

Economists said the 12-month inflation rate in April was the lowest since 1994, when cigarette taxes were reduced.

Statistics Canada said Wednesday that food prices continued to put upward pressure on the consumer price index, while price declines for energy and reduced upward pressure from some shelter costs helped ease the overall inflation rate last month.

Annual inflation rate eases to 0.4% in April

Lower energy costs helped Canada's annual rate of inflation cool in April to 0.4 per cent, down from the 1.2 per cent 12-month increase in March.

Economists said the 12-month inflation rate in April was the lowest since 1994, when cigarette taxes were reduced.

Statistics Canada said Wednesday that food prices continued to put upward pressure on the consumer price index, while price declines for energy and reduced upward pressure from some shelter costs helped ease the overall inflation rate last month.

Viterra $1.4B takeover bid endorsed by ABB board

Viterra 3-month TSX chart

Viterra Inc. said Tuesday that its $1.4-billion cash-and-stock takeover bid for Australian company ABB Grain Ltd. has been endorsed by the target's board of directors.

GM Canada plans to cut 40% of its dealer network

GM Canada began notifying dealerships Wednesday of its plans to reduce its network by 40 per cent as it works to have a restructuring plan ready by the end of the month to secure aid from the U.S. and Canadian governments.

GM said it began notifying those of its 709 Canadian dealers that will not have their sales and service agreements renewed when they expire in October 2010.

A company spokesman said 245 dealers are being told they are being let go, with more consolidation and attrition to come.