Investment managers are more positive about the U.S. economy, finds a Northern Trust survey.
On Wednesday, the Bank of Canada lowered its target for the overnight rate to 0.5%. In the past few weeks, economists were split on whether the BoC would make this move despite the obvious weakness in both the domestic and global economy, says Darcy Briggs, portfolio manager with Franklin Bissett Investment Management.
The Canadian dollar plunged Wednesday to a post-recession low after the Bank of Canada cut its key interest rate and lowered its economic forecast.
Federal Reserve Chair Janet Yellen sees a number of encouraging signs that the economy is reviving after a brutal winter and says if the improvements stay on track, the Fed will likely start raising interest rates later this year.
The Bank of Canada is lowering its target for the overnight rate to 0.5%. The bank rate is correspondingly 0.75% and the deposit rate is 0.25%.
Currency, more than commodities, may ultimately determine if the Canadian economy gets its groove back, according to a Russell Investments study.
The still-uncertain fallout from the steep drop in oil prices has left the country’s financial system more vulnerable to any significant economic shocks to employment and incomes, the Bank of Canada said Thursday.
The Bank of Canada is aiming to use lessons learned during the global financial crisis as a way to help cushion the country's own system against future periods of stress.
The Bank of Canada says it expects the oil-price shock likely "stalled" the country's economy to the point it had zero growth during the first three months of 2015 but that it has decided to keep its key interest rate unchanged at 0.75%.
The negative impact of lower oil prices is being felt in many sectors of the Canadian economy—from housing and the prices of goods and services, to employment levels, according to a report from Russell Investments.