OTTAWA, Sept 24 (Reuters) – Canadian monetary policy can
diverge from that of its neighbor to the south, even as the U.S.
Federal Reserve’s exit from its extraordinary stimulus measures
will likely raise market interest rates in Canada and weigh on
the loonie, a Bank of Canada official said on Wednesday.
Deputy Governor Timothy Lane also warned that the unwinding
of the Fed’s policy could pose risks to the financial system
globally as asset prices and volatility now reflect liquidity
spawned by the accommodative actions of central banks in the
United States and other countries.
OTTAWA, Sept 19 (Reuters) – Canada’s annual inflation rate
remained above the Bank of Canada’s 2.0 percent target in August
for the fourth month in a row, putting pressure on the central
bank to drop its neutral stance on interest rates.
Statistics Canada said on Friday overall inflation held firm
at 2.1 percent while the closely watched core rate unexpectedly
jumped to 2.1 percent from 1.7 percent in July to hit a level
last seen in April 2012.
OTTAWA, Sept 17 (Reuters) – The Canadian government will
fine Canadian National Railway Co for failing to meet
minimum weekly grain volumes under an official order demanding
railways ramp up grain shipments or face penalties, a
spokeswoman for Transport Minister Lisa Raitt said on Wednesday.
The maximum weekly fine is C$100,000 ($91,100) and Raitt
will decide the amount, the spokeswoman said. A spokesman for CN
Rail said any such move would be unfounded.
OTTAWA (Reuters) – Ukrainian President Petro Poroshenko received a rapturous welcome usually reserved for sports stars from Canadian lawmakers on Wednesday as he thanked the country for helping save lives in the battle with Russian-speaking rebels.
Canada last month promised to provide Kiev with helmets and bullet-proof vests to help it secure the unstable eastern region, scene of heavy fighting.
OTTAWA, Sept 15 (Reuters) – Canada’s anemic job market poses
“significant challenges,” Prime Minister Stephen Harper
acknowledged on Monday, while promising new measures this year
to help boost the economy.
Harper’s right-leaning low-tax Conservatives, who are
trailing in the polls ahead of an election scheduled for October
2015, portray themselves as the only party that can be trusted
to maintain economic stability in the wake of the 2008
OTTAWA (Reuters) – Canadian politicians who almost saw their country torn apart by an independence referendum in 1995 say pro-union British leaders have been slow to learn lessons from that campaign but can still take steps to win the vote Scotland will hold on Sept. 18.
In a campaign with striking similarities to the Scottish vote, the predominantly French-speaking province of Quebec came within a whisker of deciding to split up Canada in the 1995 referendum, which saw support for separatism spike in the final week.
OTTAWA (Reuters) – Canadian explorers have found the wreck of one of two ships lost in the 1845 Franklin expedition to Canada’s Northwest Passage, solving an enduring historical mystery and bolstering Canada’s claim to the key Arctic trade route.
Sir John Franklin and his 128 crew in the British ships HMS Erebus and HMS Terror were seeking the fabled Northwest Passage between the Atlantic and Pacific oceans when they became stuck in ice. The men all died and the ships vanished.
OTTAWA, Sept 5 (Reuters) – The Canadian economy unexpectedly
lost 11,000 jobs in August from July, and the number of
private-sector employees fell sharply in another sign that the
economy is still struggling to regain full speed.
Statistics Canada said on Friday that the unemployment rate
had remained at 7.0 percent. Analysts had forecast that 10,000
positions would be added after the gain of 41,700 jobs in July.
OTTAWA, Sept 4 (Reuters) – Canada’s trade surplus in July
jumped to a near six-year high of C$2.58 billion ($2.37 billion)
in another sign the long-battered export sector could be on its
way to a lasting recovery.
Market analysts had expected a surplus of C$1.20 billion.
Statistics Canada, which released the data on Thursday, revised
June’s surplus down to C$1.83 billion from an initial C$1.86
OTTAWA, Sept 3 (Reuters) – The Bank of Canada reiterated its
explicitly neutral stance and kept its overnight interest rate
at 1 percent on Wednesday, but highlighted new concern over the
overstretched household sector.
“Overall, the risks to the outlook for inflation remain
roughly balanced, while the risks associated with household
imbalances have not diminished,” it stated.