Overnight Moves: The Bank of Canada Should Start to Raise Interest Rates Now
When the Bank of Canada will begin raising interest rates is looking very different than when it should even though the risks of postponement are growing. If more “no-change” decisions are made by the Bank of Canada regarding its policy interest rate, inflation expectations might begin to slip loose of their 2 percent anchor. Further, with the Fed continuing to hold a near-zero rate, the US dollar is likely to continue its steady slide. If the Canadian dollar moves at least partially with the US dollar, because the Bank of Canada keeps its interest rate close to the federal funds rate, the higher inflation rates of energy and other commodity prices that are currently deemed temporary might start to look permanent.
Volume (Year): (2011)
Issue (Month): 139 (July)
|Contact details of provider:|| Postal: |
Phone: (416) 865-1904
Fax: (416) 865-1866
Web page: http://www.cdhowe.org
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:cdh:backgr:139. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Kristine Gray)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.