Bank to accelerate loosening with 50bp cut

The Bank of Canada has said that it would be willing to cut interest rates “more quickly” if the data surprised to the downside of its forecasts, which is exactly what has happened since the Bank’s September meeting. We therefore continue to expect a larger 50bp cut from the Bank next week.

We will be discussing the Bank of Canada’s latest policy decision in a Drop-In shortly after the decision on Wednesday 23^rd. (Sign up here.)