BoC Monetary Policy Report April 2015

Global financial conditions have eased further in recent months, as many central banks have added to monetary policy stimulus in response to persis- tent economic slack and below-target inflation.

The effects of lower prices for oil and other commodities are working their way through the world economy, boosting overall global growth, but weakening growth prospects in some countries. All things considered, the Bank expects global economic growth to strengthen and average about 3 1/2 per cent over the 2015–17 period, in line with the January Monetary Policy Report (Table 1).

In this global context, the economic prospects of major economies continue to diverge. As the U.S. economy strengthens, the Federal Reserve is widely expected to start normalizing monetary policy later this year—in contrast to the ongoing easing in other advanced economies. The substantial strength- ening of the U.S. dollar against most other currencies, notably the euro,
the yen and the Canadian dollar, largely reflects such differences and, over time, will contribute to mitigating them by boosting net exports in the weaker economies.

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Dean Popplewell

Dean Popplewell

Vice-President of Market Analysis at MarketPulse
Dean Popplewell has nearly two decades of experience trading currencies and fixed income instruments. He has a deep understanding of market fundamentals and the impact of global events on capital markets. He is respected among professional traders for his skilled analysis and career history as global head of trading for firms such as Scotia Capital and BMO Nesbitt Burns. Since joining OANDA in 2006, Dean has played an instrumental role in driving awareness of the forex market as an emerging asset class for retail investors, as well as providing expert counsel to a number of internal teams on how to best serve clients and industry stakeholders.
Dean Popplewell