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…

Bank of Canada Should Stay the Course on Rates: Globe and Mail Op-Ed

After a prolonged wait, the U.S. Federal Reserve raised its target for the Fed funds rate by 25 basis points last week. Its statement also hinted at three possible increases in 2017. Many Canadians are now asking if the Bank of Canada should raise its overnight rate in response. The short answer is “No.” Following the Fed’s rate hike, the Bank of Canada should do exactly what it was doing before the Fed’s hike: setting its overnight rate at the level required to hit its 2-per-cent inflation target.

That might seem like a simplistic answer. The Fed’s move, and the hawkish commentary that accompanied it, did send long-term interest rates and the U.S. dollar higher. Lots of people reacted. Shouldn’t we react, too?

Starting…

Bank of Canada Should Hold Overnight Rate at 0.50 Percent for Next Year: C.D. Howe Institute Monetary Policy Council

December 1, 2016 — 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 December 7, 2016.  Looking ahead, the Council said the Bank should hold the target at 0.50 percent over the next six months, and narrowly voted for it to stay there until December of 2017.

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…

Live from the Annual Benefactors’ Lecture – Stephen Poloz, Governor of the Bank of Canada

Live fromthe Institute’s Annual Benefactors’ Lecture, watch Stephen Poloz, Governor of the Bank of Canada, as he delivers his remarks on conducting monetary policy in turbulent times. Speech to commence at 8 pm, EST. 

Bank of Canada Needs a New Tool to Face the Next Great Recession: Globe and Mail Op-Ed

In the Great Recession of 2007-2009, the Bank of Canada was able to minimize the damage to the Canadian economy relatively easily. However, the low interest rate environment continuing to dog all central banks is likely to make the bank’s current monetary policy tool kit insufficient to deal with any repeat of 2007-2009.

The government of Canada and the Bank of Canada announced the renewal of the inflation-control target on Oct. 24. The announcement contained no surprises, leaving the main features of the previous control target unchanged. For the next five years, the target will remain a year-over-year growth rate of 2 per cent in the consumer price index, expressed as the midpoint of a 1- to 3-per-cent range.

However,…

Jeremy Kronick – Bank of Canada Options for Minimizing US Election Fallout

Putting Money to Work: Monetary Policy in a Low Interest Rate Environment