Skip to content

XTB TRADEBEAT

Poloz press conference

Bank of Canada Governor Poloz has just begun his press conference following the rate decision. Selected quotes are shown below: 

  • US policy is unknown and difficult to forecast
  • We’ve made some reasonable initial assumptions about US personal and corporate tax cuts
  • Higher bond yields are crossing border into Canada and will hurt Canada
  • Higher interest rates will act as a drag on Canadian economy and are at odds with the Canadian macro situation

The Q&A session has just begun:

Journalist: Could you give some more colour around the decision behind the rate decision. Was a rate discussed? Was a hike talked about?

SP: The only big event since our last meeting was the US election. Should any of the downside risks materialise and put our inflation target at risk then we would have room to maneouver. So yes, a rate cut remains on the table.

 

Disclaimer

This article is provided for general information purposes only. Any opinions, analyses, prices or other content is provided for educational purposes and does not constitute investment advice or a recommendation. Any research has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Any information provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it.

Past performance is not necessarily indicative of future results, and any person acting on this information does so entirely at their own risk, we do not accept liability for any loss or damage, including without limitation, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.