BoC Leaves Rates Unchanged, Points to Positive Q1

The Bank of Canada left its main interest rate unchanged Wednesday at +0.50% while a sounding a positive note about recent economic indicators that point to “very strong” growth in the first quarter, and signal an upswing in business investment.

Governor Poloz expects growth to tail off somewhat in Q2. Policy makers also cautioned in their communique that “trade-policy uncertainty in Washington continued to cloud the outlook, and subdued inflation and wage growth were consistent with excess slack.”

The decision to leave its benchmark rate unchanged was widely expected in a survey of 11 primary dealers of Canadian government securities.

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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