8 August 2014
“In general, the report isn’t really optimistic,” – noted Charles St-Arnaud, a former BoC economist who works at Nomura Securities. In his opinion, weak hiring results will make the central bank keep ultra-low interest rates well into 2015.
As you know, the Bank of Canada has already mentioned plans to leave its benchmark lending rate at 1% for a certain period. Nevertheless, it’s quite cautious when it comes to reducing the borrowing costs as it can cause another unnecessary tendency: those who already have debts will take larger loans.