Canada’s Prime Minister Justin Trudeau announces decision to step down

Canada's Justin Trudeau on Monday said he would step down from the helm of the ruling Liberal Party, but will stay on as prime minister until a new leader is selected ahead of general elections due by late October.

"I intend to resign as party leader, as prime minister after the party selects its next leader through a robust nationwide, competitive process," he said during a Monday news conference. "Last night, I asked the president of the Liberal Party to begin that process. This country deserves a real choice in the next election, and it has become clear to me that if I'm having to fight internal battles, I cannot be the best option in that election."

He added that the Canadian Parliament will be prorogued — suspending its activity — until March 24, when a confidence vote will be carried out.

"Parliament has been entirely seized by obstruction and filibustering and a total lack of productivity over the past few months. We are right now the longest serving minority government in history, and it is time for a reset," Trudeau said.

Domestic press had reported he was expected to announce his resignation before a key national caucus meeting on Wednesday. Canadian stocks were slightly higher following the news. The S&P TSX index was up 0.1%, and the Canadian dollar gained 0.5% to 1.4373 against its U.S. counterpart. The iShares MSCI Canada ETF (EWC) climbed 0.5%.

Canada's latest political crisis was triggered by the abrupt departure of former Trudeau ally and Deputy and Finance Minister Chrystia Freeland, who resigned in December, citing differences over Ottawa's response to prospective U.S. trade nationalism over the next four years under President-elect Donald Trump's incoming administration.

Dominic LeBlanc has since been