The firming in core inflation and the new-found strength of retail sales will increase speculation that the Bank of Canada is going to increase interest rates again later this year. Our view is still that the Bank will stay on the side lines and that, eventually, housing weakness will force it to reverse course.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services