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Canada Finally Hits NATO Target

NATO released its annual defense spending estimates Thursday, showing member nations will reach a historic $1.404 trillion in defense expenditures for 2025, with 31 of the alliance’s 32 countries meeting the 2% GDP spending benchmark for the first time since its establishment in 2014.

The report, published by NATO headquarters, shows the United States leading spending at $845 billion, while European allies and Canada combined account for $559 billion. According to NATO figures, Iceland — which maintains no armed forces — is the sole member not meeting the target.

According to NATO’s official projections, Canada’s defense spending is expected to reach 2.01% of GDP in 2025, meeting the alliance target for the first time. This achievement follows Prime Minister Mark Carney’s commitment in June to accelerate Canada’s defense spending timeline to March 2026, moving up the previous 2032 deadline by six years.

You can read more on the matter here.

What’s going on?

• French PM: Next Generation To Pay For Debt Accumulated For The “Comfort Of The Boomers” (theDeepDive)

• Core inflation rose to 2.9% in July, highest since February (CNBC)

• Canada Sees GDP Shrink In Q2 After 7.5% Drop In Exports (theDeepDive)

• International coalition including Canada accuses three Chinese companies of hacking campaign (Globe)

• US Points To Private Actors As Denmark Summons Envoy Over Greenland Ops (theDeepDive)

• Energy exec tasked with speeding up project approvals in Canada (Reuters)

• Two-Thirds Of India’s Exports To US Set To Face Trump’s 50% Tariffs (theDeepDive)

• Trump Moves to Cut $4.9 Billion in Foreign Aid Without Congress’s Approval (WSJ)

• Portugal’s President Says Trump Is A “Russian Asset” (theDeepDive)

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What’s the latest?

• Economy: Canada recorded a $3.3B deficit in April–June, up from $2.9B a year earlier. Revenues rose $3.5B (2.9%), driven by tariffs and higher tax revenues. Program expenses grew $5B (4.6%), while public debt charges fell $100M (0.6%).

• Politics: Trump moved to cancel $4.9B in federal funding for 15 international programs, bypassing Congress through a “pocket rescission.” The funds targeted include foreign aid, UN peacekeeping, and democracy efforts, mostly managed by USAID. Democrats argue the administration has frozen over $425B, while GOP lawmakers are split—many back cuts, but Sen. Susan Collins called the move illegal. Senate leader Chuck Schumer warned it risks a Sept. 30 government shutdown.

• Oil: U.S. crude oil production reached a record 13.58M bpd in June, up 133,000 bpd. Total petroleum demand rose 684,000 bpd to 21M bpd, the highest since Oct. 2024. Gasoline demand increased 205,000 bpd to 9.23M bpd, while jet fuel demand hit 1.85M bpd, the highest since Aug. 2018.

• Energy : The Department of Transportation canceled $679M in federal funding for 12 offshore wind infrastructure projects, part of President Trump’s broader campaign to halt renewable energy. The largest cut was $427M for Humboldt Bay Offshore Wind in California, tied to the state’s 25 GW offshore wind goal. Other canceled projects include ports in Maryland, New Jersey, New York, Rhode Island, Virginia, Massachusetts, and North Carolina. Last week, the Interior Department also ordered Orsted to halt work on the nearly finished Revolution Wind project off New England, sending its shares to record lows. Renewable energy leaders warn these actions could drive up U.S. power prices.

• Musk: Elon Musk asked a federal judge to dismiss an SEC lawsuit alleging he delayed disclosure of his 2022 Twitter stake, saving $150M at investors’ expense. The SEC says Musk’s 11-day delay broke the 10-day disclosure rule after surpassing 5% ownership. Musk argues the delay was inadvertent, the fine excessive compared to similar cases, and the lawsuit politically motivated. He disclosed his 9.2% stake on April 4, 2022, before buying Twitter for $44B later that year.

G Mining Q2 Earnings

The stock market and stuff

• Strathcona Resources To Reject Cenovus Offer On MEG Energy, Intends To Increase Stake Further (theDeepDive)

• Zuckerberg’s AI hires disrupt Meta with swift exits and threats to leave (FT)

• CIBC Sees 17% Net Income Jump In Q3 2025 Despite Higher Credit Loss Provision (theDeepDive)

• Alibaba Creates AI Chip to Help China Fill Nvidia Void (WSJ)

• Uranium Names Rally On Cameco 20% Guidance Cut (theDeepDive)

In the juniors

• Kingfisher Metals Provides Exploration Update at HWY 37 Project, Golden Triangle (JMN)

• Soma Gold Swings to Profit in Q2 2025 Despite Higher Costs, Lower Output (theDeepDive)

• Trifecta Gold is Drilling Sheeted Quartz Veins at Rye Property, Yukon (JMN)

FULL DISCLOSURE: Power Metallic is a client of Canacom Group, the parent company of The Deep Dive. Canacom Group is currently long the equity of Power Metallic. The author has been compensated to cover Power Metallic on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.