OTTAWA, Nov 25 (Reuters) – Canada’s housing market still
needs to be closely monitored for signs of overheating but the
country’s banking regulator has no immediate plans to change its
rules to help cool the market, its top executive said on Monday.
Housing prices and mortgage debt in Canada have soared in
recent years due to record-low borrowing costs, a trend many
consider dangerous because of the risk it could end in a
OTTAWA (Reuters) – Bank of Canada Governor Stephen Poloz said on Wednesday the central bank’s economic analysis differs from that of the Organization of Economic Cooperation and Development (OECD), which recommended it start raising interest rates as soon as 2014.
The OECD said in a report this week that as Canada’s economic slack is absorbed, “monetary stimulus will need to be progressively withdrawn from late 2014 to counter inflationary pressures.”
OTTAWA, Nov 20 (Reuters) – Bank of Canada Governor Stephen
Poloz emphasized weak inflation and growth as top concerns on
Wednesday and signaled he differed with the Organisation of
Economic Co-operation and Development’s suggestion that he
should start raising interest rates as soon as late 2014.
“The most important uncertainty, as I’ve highlighted here,
is how much of an output gap is there, how much capacity is
there in the economy,” Poloz told a Canadian Senate committee.
OTTAWA, Nov 15 (Reuters) – Canadian manufacturing sales
jumped in September to their highest since June 2012 on strength
in the auto and food industries, an encouraging sign that the
hard-hit sector may be rebounding and contributing to speedier
Manufacturing sales grew 0.6 percent in the month, slightly
above the 0.5 percent gain forecast by market operators, to
C$49.9 billion ($47.5 billion). Sales were flat in August.
OTTAWA (Reuters) – Canada’s thriving oil and gas industry helped the economy grow by 0.3 percent in August from July, Statistics Canada said on Thursday, confirming modest growth that is expected to keep the Bank of Canada’s monetary policy on hold for more than a year.
The main contributor to growth in August was mining and oil and gas extraction, with accommodation and food industries, real estate services and agriculture and forestry also providing support. Manufacturing shrank and construction was flat.
OTTAWA, Oct 31 (Reuters) – Canada’s thriving oil and gas
industry helped the economy grow by 0.3 percent in August from
July, Statistics Canada said on Thursday, confirming modest
growth that is expected to keep the Bank of Canada’s monetary
policy on hold for more than a year.
The main contributor to growth in August was mining and oil
and gas extraction, with accommodation and food industries, real
estate services and agriculture and forestry also providing
support. Manufacturing shrank and construction was flat.
OTTAWA, Oct 29 (Reuters) – The Bank of Canada was not making
a significant policy shift when it abandoned 18 months of
warnings about higher interest rates last week, but simply
responding to low inflation and a weak economy, central bank
head Stephen Poloz said on Tuesday.
Poloz told a parliamentary committee that in setting
interest rates last week the bank heightened its focus on the
fact that inflation has been persistently below its 2 percent
OTTAWA, Oct 28 (Reuters) – The Canadian government has no
plans for now to clamp down on the housing market even though
prices are rising again, Finance Minister Jim Flaherty said on
Monday, but he pledged to investigate whether the price uptick
looks to be more than temporary.
Flaherty said that it would be his department’s
responsibility to act on housing prices since the Bank of Canada
has “basically no room to move,” but added: “I have no intention
of interfering in the market for the time being.”
OTTAWA (Reuters) – Canada acknowledged on Thursday that it will miss its target for greenhouse gas emissions by a wider margin than expected unless it takes further action to offset emissions in the oil industry.
The admission in a report by the environment ministry comes as the Conservative Prime Minister Stephen Harper is actively pushing development of the Keystone XL pipeline, which critics say will encourage production in the Alberta oil sands, a top emitter.
OTTAWA (Reuters) – The Bank of Canada has abandoned 18 months of warnings that interest rates will one day have to rise, saying on Wednesday that a soft economy and persistently weak inflation mean there is as much chance of a rate cut as a rate hike.
The surprise policy shift, which knocked the Canadian dollar to a one-week low and sent bond prices higher, came in a statement in which the central bank kept its key rate at 1.0 percent and dropped any hint of an eventual rate increase.