Psyched out

Good morning. Montreal is a great place to make tips, according to Lightspeed Commerce. The fintech released a survey naming the city as home to Canada’s best tippers, with Montrealers tipping 14.5% on average and 37% of diners tipping in the 16-20% range.

This feels only fair considering Quebec is also the only province in Canada that maintains a separate minimum wage for tipped workers that’s lower than the standard minimum wage.

Today’s reading time is 5½ minutes. 

Markets: Canada’s main stock index fell from its record closing high yesterday as investors were spooked by suggestions that the U.S. Federal Reserve would hike interest rates later this year.

Doctors could soon be writing Canadians a prescription to trip. Side effects may include profound self-awareness and a renewed appreciation for Pink Floyd.

Driving the news: Conservative MP Corey Tochor tabled a bill this week that would partially legalize psychedelic drugs like psilocybin in Canada, allowing doctors to prescribe them to patients with mental health disorders, including depression and PTSD. 

Why it matters: Recreational use of these drugs can create its own set of problems, but other places that have legalized medical psychedelic therapies have seen promising results in treating serious mental health conditions. 

Yes, but: Psychedelic therapies can be very expensive, especially in clinical settings. Oregon has seen over a third of its licensed therapy centres close since early 2024 (citing labour shortages and high operational costs), while some three-session treatments in Australia currently cost ~$28,000.—LA

Federal committees will recommend halting MAID expansion for mental illnesses. Members of the Senate and House of Commons will reportedly recommend that the federal government indefinitely pause the expansion of medical assistance in dying (MAID) for Canadians with mental illnesses, a policy that was set to come into effect next March. Sources told the Globe and Mail that Prime Minister Mark Carney is prepared to follow the committee's recommendation and pull the expansion. (CBC News)

Carney says Trump is cool with the structure of Ottawa’s Chinese EV deal. The prime minister told reporters at the G7 Summit that, despite the U.S.’s opposition to Canada easing its restrictions on Chinese EVs, Trump liked the structure of capping imports at 49,000 vehicles. When asked about that conversation, Trump said he didn’t explicitly approve of the deal, but that he understood it. (Bloomberg News)

Canada’s population fell for the third straight quarter. The population declined by 55,000 people in the first quarter of the year, driven by a major decline in temporary residents. According to Statistics Canada, the number of temporary residents in Canada fell by 118,000, down 4.4% from the previous quarter. Ottawa’s goal is to bring the share of temporary residents in the country to 5% of the total population by the end of next year (it's currently at 6.1%, down from 7.6% in 2024). (The Canadian Press)

What else is on our radar:

With more and more fans following their teams to tournaments abroad, many Canadians are looking for smarter ways to make away-game travel more affordable. Flights, hotels and event tickets can all add up quickly, but the right credit card can help you turn everyday spending into meaningful travel rewards.

RBC’s guide to maximizing points for travel breaks down how to choose a travel rewards card that aligns with your spending habits and better understand the redemption options that can stretch your points further. It also explores how points can be used for flights, accommodations, and upgrades, plus timing strategies that may help you get better value during peak travel periods when demand is high. 

Whether you’re planning a future away game or a bucket-list sports trip abroad, this guide shows how thoughtful rewards planning can help reduce costs and make the journey more rewarding.

For the first time, a patient has been treated with a radical therapy designed to “reprogram” cells to make them act young again. The trial is sponsored by biotech firm Life Biosciences and will treat glaucoma patients with the goal of manipulating three genes in a way that regenerates neurons in the optic nerve, thus stemming or reversing the disease's effects.

Why it matters: Some scientists have lofty dreams that the reprogramming strategy can one day be used to rejuvenate older organs, which they hope could have miraculous effects on lifespans. But there’s a long way to go to prove the therapy is viable and to ensure it works just right. If things go wrong, the altered cells could completely lose their function or become cancerous.

The king of Canadian athleticwear has already had a tough year, and just made another unforced error.

What happened: Lululemon issued an apology this week after a marketing stunt in China went wrong. In May, the brand hosted a yoga festival on the Great Wall, using what appeared to be a Japanese taiko drum during the event, angering scores of Chinese social media users. The brand said it “should have been more cautious and thorough.” You think! 

Zoom in: If this incident impacts Lulu’s Chinese sales, it would be a disaster. Mainland China has been a lifeline as it loses ground to new competitors in its core North American market. Net revenues rose 29% there last year, and have more than quadrupled since 2021.

Why it matters: As China becomes a more important market for Western consumer brands, the opportunities to accidentally incense the country’s growing number of social media users with ill-conceived promos have multiplied. Lululemon is not the only recent cautionary tale. 

Bottom line: Chinese consumer spending and investment fell to their lowest levels since the pandemic last month. With fewer consumer dollars to go around right now, brands simply cannot afford these screw-ups.—QH

🎥 US$659 million. Budget for Universal Pictures’ Jurassic World: Dominion movie, making it the most expensive film ever shot. The dinosaur flick surpassed Disney’s Star Wars: The Force Awakens, which cost $640 million to make. All that money for a 28% on the Tomatometer.

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Get your synapses firing with today’s mini-crossword, the daily sudoku, Codebreaker, and Who’s Who.