Economic News and Forecasts
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StatsCan Releases November 2021 GDP Growth, Sneak Peek at Q4 and FY2021 Numbers
Feb 1, 2022 | Economic News and ForecastsStatistics Canada figures released today showed that Canada's GDP rose 0.6% in November, with growth in both goods- and services-producing industries at about that level. Of interest to DHI members, non-residential construction grew by 0.5% in November...
BoC Holding Interest Rate Again, But Maybe For The Last Time
Jan 26, 2022 | Economic News and ForecastsThe Bank of Canada (BoC) announced today that it is again holding its benchmark interest rate at the effective lower bound of 0.25%, but it has removed its "extraordinary forward guidance", meaning that we can expect the rate to rise as early as early March...
US Fed Also Opens The Door To March Interest Rate Hikes
Jan 26, 2022 | Economic News and ForecastsThe Federal Reserve's Federal Open Market Committee (FOMC) , like the Bank of Canada (BoC), held the line on interest rates but, again like the BoC, signalled that rates could soon go up. Today's statement by the FOMC said rate hikes "will soon be appropriate" in light of continuing high...
US Fed Sounding More Hawkish
Dec 16, 2021 | Economic News and ForecastsThe US Federal Reserve finished two days of meetings yesterday and issued a statement speeding up the end of its quantitative easing (QE) program. Original plans would have had it completely wound down by mid-2022 but, with yesterday's announcement, it looks to finish in March...
Federal Government's Fall 2021 Economic Statement
Dec 15, 2021 | Economic News and ForecastsThe federal government yesterday presented their fall 2021 economic statement. Their forecast for GDP growth was 4.6% in 2021, 4.2% in 2022 and 2.8% in 2023; the 2021 figure was lower by 1.2 percentage points than projected in the April budget, but 2022 and 2023 are "broadly in line...
BoC Interest Rate Announcement - Same As It Ever Was
Dec 8, 2021 | Economic News and ForecastsThe Bank of Canada announced its overnight lending rate today and, to no one's surprise, it remains at 0.25%. The announcement reaffirms the Bank will not raise the rate until current economic slack is absorbed, sometime in the middle quarters of 2022...
DHI Canada's November Economic Forecast Update/Review Now Available
Dec 2, 2021 | Economic News and ForecastsWe're pleased to present DHI Canada's November 2021 economic forecast. While there was good news, in the form of a higher-than-expected Q3 GDP, there remain considerable uncertainties: the course of COVID-19, the inflation outlook, future monetary policy, and the impacts of weather (especially in the west).
Even StatsCan Can Be Wrong - Q3 GDP Outperforms!
Dec 2, 2021 | Economic News and ForecastsStatistics Canada released Q3 GDP figures on November 30, reporting 1.3% quarter-over-quarter growth; annualized, that's 5.3%. This result exceeds the 2.0% annualized growth they predicted in October. The economy was driven by consumer spending on services (up by 6.3% over Q2)...
August GDP Growth Disappoints; Q3 Estimate Not Rosy Either
Oct 29, 2021 | Economic News and ForecastsStatistics Canada today released the August GDP figures, showing growth of 0.4% over July. This contrasts with their flash estimate of 0.7% (see below). The August increases was fueled by growth in services-producing industries, which were up 0.6%; goods-producing industries fell 0.1%...
Bank of Canada Announcement on Interest Rates Sounds a Hawkish Note
Oct 27, 2021 | Economic News and ForecastsThe Bank of Canada announced today that, while it was maintaining the interest rate at the effective lower bound of 0.25%, it was ending its quantitative easing (QE) program and moving to "reinvestment only" - purchasing Government of Canada bonds solely to replace maturing bonds...