To see why rate cuts are coming in Canada, look no further than the March job report. The unemployment rate reached 6.1%, surpassing 6% for the first time in over two years, according to Statistics Canada on Friday. While Canada has added more than 300,000 jobs over the past year, including a loss of ... READ MORE >
Tu Nguyen
In global shift to renewable energy, Canada risks being left behind
Canada’s economy is facing a carbon emissions squeeze. Even as it makes progress in meeting its carbon reduction goals by 2030, Canada is not moving fast enough. To get there, Canada needs to vastly amplify investments in renewables to cut emissions while enabling economic growth. Failing to do so ... READ MORE >
Regulations and rate cuts to drive renewable energy growth
As renewable energy projects contend with volatile energy markets, battles over permits and a challenging investment climate, it’s easy to lose sight of the progress that is being made in the transition away from fossil fuels. Sustained investment in renewables continues, despite the hurdles, and ... READ MORE >
February’s inflation in Canada makes case for rate cuts
Canada's consumer price index fell to 2.8% February, marking the second consecutive month of decline and bolstering the case for the Bank of Canada to cut rates. The decline wasn't limited to just the headline number. Core measures of inflation eased as well: Trimmed CPI, which excludes extreme price ... READ MORE >
Canada’s jobs report offers mixed messages on rates
February’s jobs report for Canada did little to sway the Bank of Canada’s likelihood to begin cutting rates in June. The data released on Friday continues to send mixed messages to those who make monetary policy, a recurring theme for the past six months as the economy hangs on but does not ... READ MORE >
Bank of Canada maintains interest rate at 5%
The Bank of Canada kept its policy rate unchanged at 5% for the fifth time in a row as it continued to wait for inflation to further moderate. Canada is in the home stretch in its path to price stability. It will be a few more months before the first rate cut, which we expect to occur in June. There ... READ MORE >
Canadian economy grew by 1%, ending 2023 on a positive note
The Canadian economy seems to have bottomed out and be on the rebound, growing by 0.2% in the fourth quarter of last year and by 1% on an annualized basis, exceeding expectations. The growth gives the Bank of Canada time to see more sustained evidence of inflation moderation before cutting rates. ... READ MORE >
Canada’s inflation excluding shelter hit target in January
Canada's consumer price index report for January brought good news for consumers, businesses and the Bank of Canada alike. CPI dropped to 2.9%, led by lower year-over-year figures in gasoline prices. On a monthly basis, prices stayed flat. Consumers breathed a sigh of relief as grocery prices grew ... READ MORE >
Canada’s job market exceeded expectations in January, adding 37,000 jobs
The Canadian economy refuses to go down without a fight. Nearly two years into a cycle of steep interest rate increases and after half a year with the policy rate at 5%, the economy added 37,000 jobs in January, far exceeding expectations. The unemployment rate fell for the first time in over a ... READ MORE >
Canada financial conditions update: Stabilization and recovery
Canada’s financial conditions remain underwater for now, signaling slow growth in the first and second quarters of the year after a contraction last year in the third and fourth quarters. As the Bank of Canada said in its December policy statement, higher interest rates are restraining spending. ... READ MORE >