(Fergal Smith & Denny Thomas – Reuters)
Bank of Canada Governor Stephen Poloz on Thursday said the economy was weaker than forecast and predicted low oil prices would cut growth, comments likely to reinforce market expectations that the pace of future rate hikes will ease off.
Poloz, speaking a day after the central bank kept interest rates on hold, repeated that more tightening would be needed to keep inflation on track but added the pace would be decidedly data-dependent.
“It is fair to say that the data released since our October Monetary Policy Report have been on the disappointing side ... the economy has less momentum going into the fourth quarter than we believed it would,” Poloz said. Click here to read more.
- Governor Poloz Speaks on Financial Vulnerabilities and Risks to the Economy (BoC)
- Poloz Says Rates Appropriate for Now, but Hikes Are Coming (Bloomberg)
- Canadian Dollar Falls as Bank of Canada’s Poloz Says Economy Weaker Than Expected (Reuters)
- Bank of Canada Governor Says There’s No ‘Poloz Put’ for Stock Rout (Bloomberg)
- Central Bank Warnings on the Global Economy are Getting Louder (Project Syndicate)