Bank of Canada to make rate decision, offer fresh forecasts as economy improves
OTTAWA — The Bank of Canada will release new projections Wednesday and deliver an interest rate announcement amid a backdrop of surprisingly hearty data suggesting the economy is building momentum.
Analysts, who widely anticipate governor Stephen Poloz to leave the benchmark rate of 0.5 per cent unchanged, will sift through the commentary for insight into the bank’s thinking as it comes under increasing pressure to acknowledge the more positive economic figures.
The better-than-anticipated data in recent months has already led some experts to predict the central bank’s next rate hike will come sooner than they previously expected.
However, observers say Poloz has made a point of emphasizing the pockmarks of the Canadian economy.