Steve Ambler on BNN – Why the Bank of Canada may want to hold off on a rate hike
Steve Ambler, David Dodge chair in monetary policy at the C.D. Howe Institute tells BNN reasons why the Bank of Canada should wait until September to hike.
Jeremy Kronick on CTV – What happens to debt loads?
Jeremy Kronick, Senior Policy Analyst with the C.D. Howe Institute weighs in on the possibility of an interest rate hike from the Bank of Canada.
Jeremy Kronick on CTV – A Remarkable Change
Jeremy Kronick, Senior Policy Analyst with the C.D. Howe Institute says the macroeconomic effects of the rate increase are yet to be seen.
Bank of Canada Should Hold Overnight Rate at 0.50 Percent Next Week; Hike to 1.25 Percent by July 2018: C.D. Howe Institute Monetary Policy Council
July 6, 2017 — In a tight vote, the C.D. Howe Institute’s Monetary Policy Council (MPC) called for the Bank of Canada to keep its target for the overnight rate, the very short-term interest rate it targets for monetary policy purposes, at 0.50 percent at its next announcement on July 12, 2017. The MPC called for the Bank to hike to 0.75 percent at the following announcement in September, with further hikes to 1.00 by January 2018 and 1.25 by July 2018.
The MPC provides an independent assessment of the monetary stance consistent with the Bank of Canada’s 2 percent inflation target. William Robson, the Institute’s President and CEO, chairs the Council.
Council members make recommendations for the Bank of…
Spendthrifts and Savers: Are Canadians Acting Like they are “House Poor” or “House Rich”?
House rich, big-spending Canadians are taking a gamble on the risk of an economic shock in Canada, according to a new report from the C.D. Howe Institute. In Spendthrifts and Savers: Are Canadians Acting Like they are “House Poor” or “House Rich”?, author Jeremy Kronick finds Canadian household spending, apart from housing, has not dropped […] Why the Bank of Canada needs to prepare Canadians for rate hikes: Globe and Mail Op-Ed
We have been stuck in a low-interest period for almost a decade now, and with that apparent inertia comes the challenge of knowing when to start reversing course. Last Wednesday’s interest rate announcement and press release by the Bank of Canada were slightly more hawkish (or slightly less dovish) in tone than its previous announcement, but it gave no explicit hints that rate increases are on the immediate horizon. However, stronger economic data that support the bank’s own internal forecasts suggest they should be. At a minimum, communication with the public should start to prepare the market for such increases.
To understand why, let’s review the concept of the neutral rate of interest. In the world of central banking, the…
Bill Robson on Bloomberg: Dallas Fed speaks out on U.S.-Canada trade
Dallas Fed President Robert Kaplan says he feels very strongly that the U.S. trade relationship with both Canada and Mexico are essential to U.S. competitiveness. Bloomberg TV Canada talks to Bill Robson, President & CEO, C.D. Howe Institute about the Fed’s position on trade and its impact on the economy.
Bank of Canada Should Hold Overnight Rate at 0.50 Percent Next Week; Hike to 1.00 Percent by May 2018: C.D. Howe Institute Monetary Policy Council
May 18, 2017 — The C.D. Howe Institute’s Monetary Policy Council (MPC) said the Bank of Canada should keep its target for the overnight rate, the very short-term interest rate it targets for monetary policy purposes, at 0.50 percent at its next announcement on May 24, 2017. Looking ahead, the Council said the Bank should hold the target at 0.50 percent over the next six months, and hike to 1.00 percent by May of 2018.
The MPC provides an independent assessment of the monetary stance consistent with the Bank of Canada’s 2 percent inflation target. William Robson, the Institute’s President and CEO, chairs the Council.
Council members make recommendations for the Bank of Canada’s upcoming interest-rate…
The Bank Of Canada’s Tone Shift Should Be A Cause For Concern: Globe And Mail Op-ed
The Bank of Canada announced on Wednesday, in a familiar refrain, that it is maintaining its target for the overnight rate. However, the announcement and accompanying news conference signalled a definite change of tone. Barring major negative surprises, it took the possibility of a rate cut off the table. With inflation at target, should the positive economic news continue, a rate hike before 2018 is a real possibility. Two questions arise: first, what might cause this earlier rate hike, and second, is it necessarily a good thing?
Positive economic news that leads to an improvement in the real economy, and thereby an increase in inflation would be a good problem for the Bank of Canada. However, there are at least two…
Bank of Canada Should Hold Overnight Rate at 0.50 Percent Next Week; Hike to 1.00 Percent by April 2018: C.D. Howe Institute Monetary Policy Council
April 6, 2017 — The C.D. Howe Institute’s Monetary Policy Council (MPC) today called for the Bank of Canada to keep its target for the overnight rate, the very short-term interest rate it targets for monetary policy purposes, at 0.50 percent at its next announcement on April 12, 2017. Looking ahead, the Council said the Bank should raise the target to 0.75 percent over the next six months, and to 1.00 percent by April of 2018.
The MPC provides an independent assessment of the monetary stance consistent with the Bank of Canada’s 2 percent inflation target. William Robson, the Institute’s President and CEO, chairs the Council.
Council members make recommendations for the Bank of Canada’s upcoming…
Bank of Canada Should Hold Overnight Rate at 0.50 Percent through September; Hike to 0.75 Percent by Early 2018, Says C.D. Howe Institute Monetary Policy Council
February 23, 2017 — The C.D. Howe Institute’s Monetary Policy Council (MPC) today called for the Bank of Canada to keep its target for the overnight rate, the very short-term interest rate it targets for monetary policy purposes, at 0.50 percent at its next announcement on March 1, 2017. Looking ahead, the Council said the Bank should hold the target at 0.50 percent over the next six months, and raise it to 0.75 percent by March of 2018.
The MPC provides an independent assessment of the monetary stance consistent with the Bank of Canada’s 2 percent inflation target. William Robson, the Institute’s President and CEO, chairs the Council.
Council members make recommendations for the Bank of Canada’s…
Bank of Canada Should Hold Overnight Rate at 0.50 Percent through mid-Year; Hike to 0.75 Percent by 2018: C.D. Howe Institute Monetary Policy Council
January 12, 2017 — The C.D. Howe Institute’s Monetary Policy Council (MPC) today called for the Bank of Canada to keep its target for the overnight rate, the very short-term interest rate it targets for monetary policy purposes, at 0.50 percent at its next announcement on January 18, 2017. Looking ahead, the Council said the Bank should hold the target at 0.50 percent over the next six months, and raise it to 0.75 percent by January of 2018.
The MPC provides an independent assessment of the monetary stance consistent with the Bank of Canada’s 2 percent inflation target. William Robson, the Institute’s President and CEO, chairs the Council.
Council members make recommendations for the Bank of Canada’s…