Add The Bank of Canada to the list of flip-flopping central banks as it has now fully abandoned its bias toward raising interest rates as the economy grapples with a slowdown, bringing its policy into line with the Fed.
“Governing Council judges that an accommodative policy interest rate continues to be warranted,” officials led by Governor Stephen Poloz said in the statement.
“We will continue to evaluate the appropriate degree of monetary policy accommodation as new data arrive.”
The Bank of Canada slashed its GDP growth forecast to 1.2% y/y in 2019, from 1.7% previous.
The reaction makes sense – a sudden weakening in the Loonie…
And Canadian bond yields are tumbling…
via ZeroHedge News http://bit.ly/2ITZnGi credittrader