The future of Canada's naval fleet

Monday, July 06, 2026

Written by Sarah Berman Copy Editor, Digital News

Good morning. Prime Minister Mark Carney is expected to unveil who will build Canada's next fleet of submarines. He'll do that in Halifax today. Canadian icon Martin Short is calling out a "preposterous" development in Ontario's cottage country. And, a Fourth of July celebration in Ottawa packed a political punch. More on the U.S. ambassador's bourbon-free toast below.

BREAKING NEWS

(Efrem Lukatsky/The Associated Press)

Russian missile, drone attack on Ukraine's capital kills at least 12

Russia launched waves of missiles and drones at Kyiv early Monday, killing at least 12 people in an attack that exposed widening gaps in Ukraine's air defences.

What's happening: Ukraine's air force said Russia fired hundreds of drones and dozens of missiles at the country overnight, targeting mainly Kyiv, and 29 ballistic missiles that were launched struck their targets, underscoring how little Ukraine can do to stop them. Another 60 people were injured as emergency workers searched for survivors at residential high-rises in two locations that suffered direct hits.

Why it matters: The attack exposed widening gaps in Ukraine's air defences, which remain heavily reliant on U.S.-made Patriot interceptors — which are in short supply because of the war in the Middle East. Ukrainian President Volodymyr Zelenskyy is expected to pressure Western leaders for more help at today's NATO summit in Turkey.

– This section compiled by Sean Davidson

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Prince Harry will not stay at Buckingham Palace during his stay in Britain this week, the palace said, despite an earlier statement by a spokesperson that the estranged royal had accepted an invitation.
Olympian Summer McIntosh broke the world record in the women's 200-metre butterfly at the Canadian swim trials Sunday.

Will Carney choose South Korean or German submarines? Sources say we'll find out today

Defence sources say Prime Minister Mark Carney is planning to stop in Halifax on his way to a NATO summit in order to announce who will build Canada's next submarine fleet.

What's happening: Canada's navy has a plan to build 12 new submarines. It's been nearly a year since Carney announced the field of bidders had been narrowed to two choices: the German-designed Type 212CD and the South Korean KSS-III. That showdown is expected to end today. The acquisition cost could run to $24 billion, but with lifetime maintenance and support, the final bill over three decades could be upward of $100 billion.

Why it matters: Carney is headed to Ankara, Turkey, for the NATO summit, where Secretary General Mark Rutte has made clear that allies are expected to show up not only with a plan to meet the defence spending benchmark but military capabilities. Speaking at an Ottawa arms expo at the end of May, Carney said both submarines meet the navy's requirements and that a decision on which bid to choose will hinge on both the economic package and the long-term geostrategic partnerships and alliances the deal will create.

Murray Brewster has the story

Think you can win on prediction markets? Here's why you're more likely to lose

Looking to make money on prediction markets as they move into Canada? New research suggests the odds aren't exactly in your favour.

What's happening: A paper published by researchers at Yale University and London Business School suggests that only three per cent of Polymarket accounts, dubbed "skilled traders," consistently earned profits. As Wealthsimple's partnership with Polymarket competitor Kalshi is set to expand such betting into Canada, experts say Canadians should understand who they're competing against.

Why it matters: Prediction markets have exploded in popularity in recent years, rising from a monthly trading volume of $100 million US in 2024 to $24 billion US in 2026. As they've grown, financial firms have begun recruiting skilled traders. One expert said individuals betting on intuition are living in "a fantasy" if they think they can win against hedge funds that will employ professionals and computer algorithms to make educated bets.