We don't expect the Bank of Canada to make any major changes in next week's policy statement (Wednesday, 23rd October). While weak exports and business confidence are likely to have prompted some small downgrades to its GDP outlook, its tightening bias aimed at over indebted households will probably stay. If it could deliver a separate message to businesses and the financial sector, it would be, conditional on the outlook for inflation, to expect the policy rate to remain at 1.00% for at least the next 12 to 18 months.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services