Canada Economics Update Bank of Canada stands pat for now The Bank of Canada’s decision to leave its key policy rate unchanged at 0.50% today was largely as expected given that the economy apparently returned to positive growth in June. But we still... 9th September 2015 · 1 min read
Canada Economics Update Sinking commodity prices more bad news for Canada The turmoil in global financial markets, particularly the renewed weakness in commodity prices, is more bad news for Canada’s struggling economy. The timing of the Federal election in October may... 24th August 2015 · 1 min read
Canada Economics Update Housing construction boom likely to end in bust The latest housing start figures don't fully reflect the relatively stronger pace of building permits, an indication that home building may accelerate further in the near-term, even as signs point to... 11th August 2015 · 1 min read
Canada Economics Update Key housing markets won't defy gravity for much longer The Vancouver and Toronto housing markets appear to be enjoying a revival of late, in contrast to most other markets in Canada. But with labour market conditions set to deteriorate this year and... 28th July 2015 · 1 min read
Canada Economics Update Bank of Canada likely to cut rates again As we expected, the Bank of Canada lowered its key policy rate from 0.75% to 0.50% today, admitting that the economy fell into a mild recession in the first half of the year. We have been warning that... 15th July 2015 · 1 min read
Canada Economics Update Economy unlikely to rebound from oil slump The Bank of Canada's latest Business Outlook Survey shows that not only is the fallout from the slump in oil prices still taking a heavy toll on the economy, but the pick-up in non-energy sectors... 6th July 2015 · 1 min read
Canada Economics Update Bounce back in household spending won't be repeated After a weather-related pause in the first quarter, household spending is soaring. Faster income growth and a potential drop in the saving rate could see second-quarter consumption grow by more than 5... 9th June 2015 · 1 min read
Canada Economics Update Bank of Canada signals no change in rate outlook The Bank of Canada's policy statement this morning showed that it remains confident in its optimistic growth outlook and believes that the January rate cut was enough insurance against the oil price... 27th May 2015 · 1 min read
Canada Economics Update Continued fiscal restraint will slow economy down Although the Conservative-led government fulfilled its pledge to eliminate the Federal budget deficit, fiscal restraint at this juncture seems unnecessary considering the negative fallout from the... 21st April 2015 · 1 min read
Canada Economics Update Bank of Canada holds policy rate at 0.75% The Bank of Canada kept its policy rate at 0.75% this morning, showing confidence that, after stalling in the first quarter, the economy will rebound in the second quarter and never look back. We... 15th April 2015 · 1 min read
Canada Economics Update Oil price slump will drag economy down The Bank of Canada's latest Business Outlook Survey shows that, while some firms are benefitting from a weaker Canadian dollar, the slump in crude oil prices is having a greater negative impact on the... 7th April 2015 · 1 min read
Canada Economics Update Bank of Canada in no hurry to cut rates The speech earlier today by Bank of Canada Governor Stephen Poloz and his remarks during the press release shortly afterwards suggest that the Bank isn't in any hurry to cut rates further. Accordingly... 26th March 2015 · 1 min read
Canada Economics Update Lower mortgage rates won't prevent housing correction Lower mortgage rates won't prevent home sales and prices falling sharply in regions directly hit by the slump in oil prices. While they might support housing activity in other key markets, we fear... 4th February 2015 · 1 min read
Canada Economics Update Canadian dollar likely to tumble further Softening economic conditions and speculation about another interest rate cut from the Bank of Canada will keep downward pressure on the Canadian dollar. Allowing for a modest bounce back in the price... 27th January 2015 · 1 min read
Canada Economics Update Bank of Canada shocks markets with rate cut The Bank of Canada shocked markets this morning by lowering its policy interest rate from 1.00% to 0.75%, in response to the collapse in oil prices that now threatens the outlook for economic growth... 21st January 2015 · 1 min read
Canada Economics Update Collapse in oil prices point to stagnant investment The Bank of Canada's latest Business Outlook Survey results show that the collapse in oil prices has significantly undermined domestic business confidence and could well result in a near-stagnation in... 12th January 2015 · 1 min read
