Is Canada heading for recession? One economist says it may lack severity – National [Video]

If Canada is heading for a recession, how severe could it be?

That’s the question being debated by many economists and financial experts who warn that the main driving force is the trade war brought on by U.S. President Donald Trump’s tariff policies.

The labour market has already been shedding jobs as tariffs take hold and companies brace for higher costs, and at least one economist is forecasting the loss of thousands of jobs in the coming months.

In an interview with The Globe and Mail, TD Group’s chief economist and vice-president Beata Caranci said the bank is “worried” Canada will enter a recession, in addition to potential job losses heading towards the third quarter of the year.

“We can see perhaps another 100,000 jobs lost,” Caranci said in that interview. “We’ve already had over 70,000 lost in the private sector in two months.”

In a statement to Global News about that forecast, Caranci said much depends …