OTTAWA, March 4 (Reuters) – The Bank of Canada held interest
rates steady on Wednesday, in line with signals it sent out over
the past two weeks, and voiced satisfaction with how the market
and the economy have reacted to its surprise rate cut in
“The risks around the inflation profile are now more
balanced and financial stability risks are evolving as expected
in January,” the central bank said as it announced its benchmark
overnight interest rate would stay at 0.75 percent.
OTTAWA, Feb 27 (Reuters) – When Bank of Canada Governor
Stephen Poloz abandoned a policy of offering forward guidance on
interest rates last year, he said telling traders explicitly
what’s going to happen can boost volatility as it spurs a rush
for the exits when things change.
But traders say that so far the policy shift has in fact
increased volatility with the central bank blindsiding markets
with its surprise rate cut in January, and then catching them
off guard again this week with comments by Poloz suggesting it
will hold rates steady next month.
OTTAWA, Feb 20 (Reuters) – Canada will boost the minimum
insurance railways will have to carry when they haul crude oil
and an additional fund will be set up with levies on oil
shipments to cover major disasters, under legislation to be
introduced on Friday, two sources familiar with the bill said.
The legislation is in reaction to a spate of oil-by-rail
accidents, the most prominent being the 2013 explosion of a
runaway train in the Quebec village of Lac-Megantic that leveled
the heart of the town and killed 47 people.
MONT-TREMBLANT, Quebec, Feb 19 (Reuters) – A Bank of Canada
official said on Thursday there was nothing predetermined about
next month’s interest rate decision, even as traders priced in
high odds the central bank will ease for the second time this
The central bank last month shocked markets by unexpectedly
cutting its main policy rate to 0.75 percent from 1 percent,
citing a threat to growth from the oil price plunge.
MONT-TREMBLANT, Quebec, Feb 19 (Reuters) – The Bank of
Canada will base its March 4 interest rate decision on a careful
examination of how the economy and the risks to it are evolving,
deputy governor Agathe Cote said on Thursday.
The central bank last month shocked markets by cutting
interest rates, citing a threat to growth and its 2 percent
inflation target. Many market analysts expect another cut on
March 4 by the bank, which has stopped giving guidance on rate
OTTAWA, Feb 17 (Reuters) – Canada will have only three or
four years to take advantage of its renminbi clearing hub before
China liberalizes its capital account and so reduces the
competitive advantage the hub creates, a Chinese banker key to
the operation said on Tuesday.
During Canadian Prime Minister Stephen Harper’s visit to
China in November, it was announced that a clearing hub for the
yuan, or renminbi, would be established in
Toronto, the first such hub in the Americas.
ISTANBUL, Feb 10 (Reuters) – Compelling arguments will be
required to cause the Bank of Canada to target something other
than inflation, Governor Stephen Poloz said on Tuesday, also
citing reasons not to lower the 2 percent target level.
The government and the Bank of Canada will have to decide by
the end of next year whether to renew the five-year agreement
requiring the central bank to pursue 2 percent inflation.
ISTANBUL, Feb 10 (Reuters) – Bank of Canada Governor Stephen
Poloz insisted on Tuesday that he has not been talking down the
Canadian dollar, saying it has fallen because of economic
developments, particularly the collapse in the price of oil.
Speaking in an interview with Reuters and another news
outlet, Poloz said the oil price shock has been front and center
at meetings of the Group of 20 leading economies, but nothing he
has heard at the talks so far has changed his economic outlook.
ISTANBUL (Reuters) – Regulatory and financial reforms have helped diminish the risk Greece may pose to the euro zone, Canada’s finance minister said on Tuesday, amidst growing concern about Athens’ determination to ease austerity measures.
Speaking to reporters on the sidelines of a meeting of finance ministers and central bankers of the Group of 20 (G20) leading economies, Joe Oliver also said the mood at the talks was “determined”, but not optimistic.
ISTANBUL (Reuters) – Bank of England Governor Mark Carney has urged the G20 to mount a “big push” to implement global regulatory reforms, fearing that governments may be tiring of non-stop rulemaking since the financial crisis six years ago.
Carney was speaking ahead of a meeting of finance ministers and central bankers from the Group of 20 economies (G20), whose regulatory task force, the Financial Stability Board, he chairs.