Tag Archives: Bank of Canada

Canada: Broad-Based Price Pressures Make a 75bp Increase Almost Inevitable

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Canada: Broad-Based Price Pressures Make a 75bp Increase Almost Inevitable

In Canada, inflation reached levels not seen since 1983 in May. We believe that the CPI data make a 75 basis point interest rate hike at the next meeting a near inevitability, with rates peaking at more than 2.75 percent. There was no relief in May for those of us… Continue reading →

Bank of Canada Alerts High Household Debt and Elevated House Prices Pose Top Risks to Economic Situation

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Bank of Canada alerts high household debt and elevated house prices pose top risks to economic situation

The Bank of Canada advised that household vulnerabilites have gotten worse over the past year and can lead to tension in the monetary system as borrowing costs soar and also very indebted debtors struggle to service their financial debts. In its most recent Financial System Review, the central bank stated… Continue reading →