April's surprising rise in the official 'core' inflation figure, which rose to 2.1% from 1.9% in March, partially reflects higher motor vehicle prices and does not suggest higher inflation ahead. More important to policy makers now is the growing risk of a disorderly euro breakup. We think the Bank of Canada has absolutely no intention of raising interest rates anytime soon.
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