Scotiabank projects recession in Canada, U.S.

Lights out bitc*es! If don't know well now you know that stock prices, and credit markets are crumbling. It is happening more so in the US than in Canada presently, but as most people will tell you when the US sneezes Canada catches a cold. This has led experts to believe that a recession is inevitable...no not Jeezy's album (though a solid piece of work)but an actual a significant decline in economic activity spread across real income, employment levels, industrial production, and wholesale-retail sales paints a bleak 2009...

OTTAWA — Economists are gutting their forecasts for Canada's growth next year as the United States slides into recession and pulls the rest of the world down with it.

A Bank of Nova Scotia forecast to be published on Tuesday projects a recession for both Canada and the United States.

And Goldman Sachs is warning that its outlook for Canada, to be released later this week, is going to be significantly weaker as well.

“Although Canada has been somewhat more insulated from the direct impact of the credit crisis, it will not escape the effects of a significant contraction in U.S. consumer spending over the next few quarters,” Goldman Sachs economist Andrew Tilton said in a note to clients late Sunday. “As a result, we will be revising down our estimates for Canadian exports and overall growth.”

Read the rest of the article here.