Agent Blogs

Bank of Canada leaves door open to rate cut as concerns of weak inflation grow

Gordon Isfeld | January 22, 2014
Last Updated: Jan 23 12:24 PM ET

OTTAWA — Canada’s economy is expected to tag along with the stronger U.S. recovery as it picks up speed — but, for now, it could be a matter of hurry up and wait.

Inflation in this country needs to get back to the Bank of Canada’s 2% target, and policymakers don’t expect that to happen for couple of years.

That’s good for consumers in general, but not the economy as a whole — and certainly not for a hot housing market and record household debt levels.

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