Bank of Canada

Federal budget, CPI support neutral rate outlook Fallback Image Decorative pattern

Economic Indicators

Federal budget, CPI support neutral rate outlook

Last week, the federal budget projected medium-term deficit increases, including a deficit of $28.5 billion for 2017-18, and a deficit of $18 billion still remaining by 2021. Read: Feds will keep asking for more to bolster middle class: Morneau The small measures of raising taxes on alcohol and cigarettes, removing the public transit tax credit […]

By Staff |March 27, 2017

2 min read

To raise or not to raise rates? What the BoC must consider Fallback Image Decorative pattern

Economic Indicators

To raise or not to raise rates? What the BoC must consider

Speculation on the next move by the Bank of Canada (BoC) suggests a rate hike is possible due to strong economic data. Read: Hike gave Fed “more breathing room,” says analyst In an economics viewpoint report, Desjardins senior economist Jimmy Jean notes that last year Canadian growth surpassed that of the U.S., except in Q2, […]

By Staff |March 20, 2017

3 min read

Potential growing pains for Canada’s economy Fallback Image Decorative pattern

Economic Indicators

Potential growing pains for Canada’s economy

Canadian GDP is expected to grow by 2% in 2017, followed by a slightly firmer 2.1% in 2018, reveals an economics outlook report by RBC. Ontario is expected to lead the way for the first time since 2000, with a growth rate of 2.5%. Two of Canada’s oil-producing provinces, Alberta and Saskatchewan, will swing back […]

By Staff |March 13, 2017

3 min read

The BoC’s unofficial lower-loonie policy Fallback Image Decorative pattern

Economic Indicators

The BoC’s unofficial lower-loonie policy

The BoC will hold its benchmark interest rate at 0.5% through the year even as the Fed hikes rates more than once, a CIBC economist predicts. That’s because the BoC is intent on a weaker loonie to support exports, says Benjamin Tal, deputy chief economist of CIBC World Markets. In a speech at the Canadian […]

By Simon Doyle |March 9, 2017

3 min read