At its meeting held on 1 March, the Bank of Canada (BoC) left the target for the overnight rate unchanged at 1.00%, in a move widely anticipated by the market. The Bank stressed that there still exists ?considerable slack in the economy? with the output gap remaining negative. Simultaneously, the Central Bank expressed confidence regarding the ongoing global economic recovery, especially in the United States. On the other hand, sovereign debt uncertainty in some countries of the Eurozone still weighs on the recovery pace in Europe and increases the risk to the global economic outlook. Furthermore, policymakers remained confident about the recovery in Canada, stating that both household consumption and business investment remain strong. The BoC also commented on inflation, which it views as ?consistent with the Bank's expectations?. In general, the Central Bank maintained its dovish tone and did not signal a prospective hike in interest rates, which means a tightening of monetary policy is unlikely in the near future. The next policy meeting is scheduled for 12 April.
Canada Monetary Policy
Central Bank stays pat on interest rates for a fourth consecutive meeting
March 1, 2011
Looking for forecasts related to Monetary Policy in Canada? Download a sample report now.
Canada Economic News
October 11, 2016
The Teranet-National Bank National Composite House Price index rose 0.7% in September from the previous month, which followed the 1.5% increase in August.
October 8, 2016
Seasonally-adjusted annualized housing starts registered 220,600 units in September, according to the government-owned Canada Mortgage and Housing Corporation (CMHC).
October 7, 2016
The Ivey Purchasing Managers’ Index (PMI), sponsored by the Richard Ivey School of Business and the Purchasing Management Association of Canada, increased a seasonally-adjusted 6.1 points in September, rising from 52.3 in August to 58.4.
September 30, 2016
In July, GDP grew a strong 0.5% over the previous month in seasonally-adjusted terms.
September 23, 2016
In August, seasonally-adjusted consumer prices recorded a 0.1% decrease over the previous month, which was down from the flat figure recorded in July and marked the lowest reading in six months.