Bank of Canada (BoC) drops their rate by 0.25%, for the second time in a row. Household spending has been weak. There are signs of slack in the labour market. The unemployment rate has risen, job seekers taking longer to find work. Wage growth is showing some signs of moderating, but remains elevated. Residential investment […]

Bank of Canada finally drops their rate by 0.25%. Inflation in most advanced economies continues to ease. The Bank’s preferred measures of core inflation suggest continued downward momentum. However, they state recent data suggest the economy is still operating in excess supply. Shelter price inflation remains high and housing activity increased. Wage pressures remain but […]

Bank of Canada maintains policy rate.  Inflation in most advanced economies easing gradually. US economy stronger than anticipated. Global oil prices have moved up.  In Canada,  labour market conditions continue to ease, unemployment rate has risen gradually, wage pressures are moderating.  However, shelter price inflation is still very elevated, driven by growth in rent and […]

Bank of Canada maintains policy rate.  Global economic growth slowed. US GDP growth also slowed but remained surprisingly robust. Euro economic growth was flat. Equity markets have risen sharply. Canada economy pace remained weak and below potential with a large decline in business investment.  Employment continues to grow more slowly than the population, and there […]

Bank of Canada maintains policy rate. Global economic growth continues to slow. US economy anticipated to slow down in 2024. Euro looks like to be a mild contraction. China low consumer confidence and policy uncertainty will likely restrain activity. Oil prices lower than assumed in October. Canada economy stalled since mid-2023 and close to zero […]

No surprise today, Bank of Canada maintains the rate. Gives themselves a pat on the back ” Inflation has eased further… as past policy rate increases work their way through the economy.” Economy is slowing down: job creation is slower, job vacancies have declined further, unemployment rate has risen modestly. However, wages are still rising […]

Bank of Canada maintains the rate. Subtly acknowledging rate that their rate increases have dampened economic activity. Weaker demand and higher borrowing costs are weighing on business investment. Inflation has been easing in most economies. Higher interest rates are moderating inflation in many goods that people buy on credit, and this is spreading to services. […]

Bank of Canada maintains the rate. Inflation in advanced economies has continued to come down. The Canadian economy has entered a period of weaker growth. The tightness in the labour market has continued to ease gradually. However, wage growth has remained. “With recent evidence that excess demand in the economy is easing, and given the […]

Bank of Canada raises rate by another 0.25%. Pointing to robust demand, strong consumption growth, tight labour markets, and some pickup in the housing market. Canada’s and US economy has been stronger than expected. Bond yields are up in North America and Europe as major central banks signal further interest rate increases may be needed […]

Bank of Canada raises rate by 0.25%. Unexpected to some, but note that US did recently increase while Canada did not. Underlying inflation remains stubbornly high. Major central banks are signalling that interest rates may have to rise further to restore price stability. Canada’s economy was stronger than expected, housing market activity has picked up, […]