bank of canada

The Bank of Canada held its monetary policy meeting last week. Interest rates were left unchanged at 1.25% as widely expected. But, the central bank surprised by signaling that the next rate hike could be coming soon despite uncertainties surrounding global trade. The BoC has hiked interest rates three times since mid last year. This came aft...

2018-06-08 John Benjamin Read more
April Canada Unemployment Rate Remains Steady

As the April Canada unemployment rate remains steady, the Canadian economy was seen losing jobs in the month of April, with declines seen by a drop in the part-time workers. The weaker than expected data raised expectations that the Bank of Canada will be holding interest rates unchanged at its meeting this month. Data from Statistics Canada ...

2018-05-18 John Benjamin Read more
CAD: Expectations Vs Reality

You must be wondering why I keep writing about the Canadian dollar. My first article for this column was on September 13, followed by October 11 and January 17. Over the last 12 months, the Canadian dollar has risen 8% against the US dollar. It is the strongest currency among the G10 currencies over the last 4 weeks. So, what happened to the cur...

2018-04-24 Ashraf Laidi Read more
BOC Highlights Rate Hike Headwinds

As widely expected, the Bank of Canada kept its headline cash rate unchanged at this month’s meeting with an accompanying statement that somewhat dampened bulls’ expectations. The BOC noted that its decision is “consistent with an economy operating with little slack”. Regarding inflation, the bank said that it sees total inflation hitting 2.3% t...

2018-04-24 James Harte Read more
Canada holds interest rates steady

The Bank of Canada held its monetary policy meeting last Wednesday. As widely expected, the central bank of Canada holds interest rates steady at 1.25%. The central bank cited uncertainty related to trade factors as one of the reasons for keeping interest rates unchanged. Reiterating the statement from January which was largely unchanged, the...

2018-03-23 John Benjamin Read more
Trade Tensions

Less than 24 hours hours after the People’s Bank of China hinted it may change the components of its USD/CNY basket, global currency and bond markets were shaken by Bloomberg reports that it is considering scaling down its purchases of US treasury bonds. This was in light of surging trade tensions with US. Less than 12 hours later, Canadian offi...

2018-01-17 Ashraf Laidi Read more
BOC_Poloz

The Bank of Canada will be meeting tomorrow for its monthly monetary policy review. According to the economists polled, the central bank is expected to hold back from hiking interest rates any further. Thus, the BoC's overnight cash rate is expected to remain steady at 1.0%. The BoC had previously surprised the markets with a back to back rate ...

2018-01-25 John Benjamin Read more
Canada_NAFTA

Canada & Mexico Reject US Demands The Trump administration became involved in yet more political embarrassment yesterday as Mexico and Canada rejected the President’s demand during talks aimed at securing a renegotiation of NAFTA. Negotiators operating on behalf of the US government presented a slew of proposals aimed at getting the Canadia...

2017-10-23 James Harte Read more

Lost in the noise of Friday’s hurricane-ridden US jobs report was another strong report from Canada. Canada is the miraculous nation, who has yet to witness a real-estate crash after emerging unscathed from the 2008-2009 market crisis. Its central bank has also raised interest rates two years after an oil-recession. On Friday Canada’s labour ma...

2017-11-02 Ashraf Laidi Read more
BOC_Poloz

Poloz Dampens Rate Hike Expectations Expectations of an October BOC rate hike have fallen sharply in response to BOC governor Poloz’s speech last week. Poloz expanded on the themes discussed during the September 6th policy meeting and echoed comments made recently by BOC Dep. Governor Lane. The Canadian Dollar is now down nearly 200 pips since...

2017-10-22 James Harte Read more