Poloz Speech: Improving economy led us to take rate cuts off the table
The Governor of the Bank of Canada Stephen Poloz is presenting the Financial System Review, providing the key highlights (via Reuters) found below.
We're in a situation where all the things are working for us in the same direction.
Improving economy led us to take rate cuts off the table.
It's a nice byproduct that those things help us to reduce the vulnerabilities we're talking about.
It's still other tools that should be used on household vulnerabilities, and they have been
We know when it takes 10 years to build up vulnerability, what you're hoping for is a gradual resolution.
Over the next 1-2 years, we'll get more employment growth, which will add to sustainability of existing debt.
We're looking for housing, consumption to be less important to growth than they have been over coming years.
BOC: Level of household debt relative to income remains high and continues to rise.
"Elevated household indebtedness remains most important vulnerability to the financial system," the Bank of Canada said in its Financial System Review on Tuesday.
Canada: Downbeat retail sales not enough to sink a January rate hike - TDS.
Analysts at TDS note that Canada’s retail sales rose by 0.1% m/m in September, well below TD's on-consensus forecast for a 1.0% increase, though sales were revised higher for August.
About Stephen Poloz
Stephen S. Poloz was appointed Governor of the Bank of Canada, effective 3 June 2013, for a term of seven years. As Governor, he is also Chairman of the Board of Directors of the Bank. Mr. Poloz is a Certified International Trade Professional and a graduate of Columbia University’s Senior Executive Program. He has been a visiting scholar at the International Monetary Fund in Washington, D.C., and at the Economic Planning Agency in Tokyo, Japan. Mr. Poloz has taught economics at the University of Western Ontario, Concordia University and Queen’s School of Business. He is a past president of the Ottawa Economics Association.