Andrew Kelvin, chief Canada strategist at TD Securities, points out that in Canada, the Liberal Party won the most seats in Federal Election, defeating the opposition Conservative party by a healthier margin than expected.
“Still, with the Liberals projected to win 156 seats, they will still fall short of the 170 seats needed for a majority.”
“PM Trudeau should maintain his position as Prime Minister, but going forward the Liberals will need the co-operation of at least one opposition party to pass legislation. We would be surprised to see a formal coalition, but the Liberals will presumably need to alter some aspects of their platform to accommodate other parties.”
“It is too early to know how minority status will impact the conduct of policy, but our (very early) expectation is that we could see a slightly more expansive increase in spending than the Liberals had initially planned.”