Economists widely believe that based on the economic environment, it's likely that governor Stephen Poloz will raise the central bank's benchmark interest rate Wednesday for a third time since last summer. Recent data show that labour market slack is being absorbed more quickly than anticipated.
The central bank estimates the economy grew 3% previous year, and is expected to expand 2.2% in 2018. "But in this case the rate hike itself was already reflected in market prices.so the real question on investors' minds was would the Bank of Canada provide more hawkish guidance about future rate hikes?" said Todd Mattina, a chief economist at Mackenzie Investments.
Underlying economic fundamentals at home and overseas have strengthened, and would otherwise suggest a strong pickup in business investment and exports, the bank said. We're looking for one further hike this year, likely early in Q3, and a further 50 bps in 2019. On the flip side savers can expect to earn more, too. It predicted Canada's high levels of household debt would amplify the effects of higher interest rates on consumption.
"They were really quick to highlight a lot of the positive and constructive developments that made them optimistic about the forecast and the outlook for the economy", Theoret said.
DOJ Appeals Judge's Ruling Stopping Trump From Ending DACA
The program, also known as DACA, provides protections and work permits to individuals who entered the USA illegally as children. The DOJ has appealed a lower court's decision in The Regents of the University of California and Janet Napolitano v.
The central bank's rate in turn affects rates that Canadians get from their retail banks for things like mortgages, credit lines, savings accounts and Guaranteed Investment Certificates (GIC). Barring another run of roaring data, we look for the Bank to hold off until possibly July before hiking again (depending, of course, on the fate of the NAFTA talks).
The bank also introduced into its projection the potential negative effects of recent US tax reforms, estimating they will take another 0.5 percent off Canadian investment by the end of next year.
"Although their investment intentions indicate plans to boost spending, respondents to the Business Outlook Survey are increasingly concerned about the ongoing NAFTA negotiations and rising protectionism more generally", the central bank said, referring to its quarterly survey.
The Bank of Canada said the unknowns of the NAFTA's renegotiation are continuing to weigh on its forecast and have created a drag on investment and exports.
In the first Test too, India's miserable batting led to the defeat despite a brilliant show put up by the bowlers. Ajinkya Rahane , who didn't play the first two Tests, averages 53.44 in away conditions compared to 33.63 at home.
Michael Wolff's Fire and Fury: Inside the Trump White House is reportedly being eyed for adaptation as a television series. The president himself has condemned the book. "I absolutely spoke to the president", the non-fiction writer stated .
Neymar recorded another individual landmark as Paris Saint-Germain thumped desperate Dijon 8-0 in Ligue 1 on Wednesday. Just to rub salt into the wound, Neymar buried a penalty past Reynet in the 83rd minute.
The casino company said its shuttle boat that caught fire off Florida's Gulf Coast never had any previous problems. The shuttle had been transporting people between to the Tropical Breeze Casino boat when it had engine problems.
Russian Federation condemns murder of Kosovo Serb politician
Ivanovic's death raises questions over global peacekeeping in the region, an area critics say is unable to govern organized crime. Prominent Kosovo Serb politician Oliver Ivanović was killed in a drive-by shooting outside his party headquarters Tuesday.
Google unveils $30bn infrastructure investment plans
The HK-G, an acronym for Hong Kong-Guam, is another consortium cable interconnecting major subsea communication hubs in Asia. The Google Cloud Platform (GCP) region, which is now live in the country, will encourage more local firms to adopt Cloud.
Mercedes reveals all-new G-Class
Interior elbow room is up by 68mm in the front - handy if the Christmas period has left you feeling a little wider than you did. Mercedes also incorporated the new 12.3-inch Comand display that serves as both the gauge cluster and the infotainment display.
Former England striker Cyrille Regis dies
Ex-West Bromwich Albion striker Cyrille Regis has died suddenly of a heart attack at the age of 59, it has been announced. West Brom are due to unveil a 10-foot statue of Regis, Cunningham and Batson at the Hawthorns this season.