January 18, 2011 - Bank of Canada maintains overnight rate target at 1 per cent

[herefishyfishy]

Bank of Canada maintains overnight rate target at 1 per cent

Link:
Bank of Canada maintains overnight rate ...-2011-Press Releases- Publications and Research- Bank of Canada

[herefishyfishy]

A few excerpts:

The global economic recovery is proceeding at a somewhat faster pace than the Bank had anticipated, although risks remain elevated.

Ongoing challenges associated with sovereign and bank balance sheets will limit the pace of the European recovery and are a significant source of uncertainty to the global outlook.

Stretched household balance sheets are expected to restrain the pace of consumption growth and residential investment.

Net exports are projected to contribute more to growth going forward, supported by stronger U.S. activity and global demand for commodities. However, the cumulative effects of the persistent strength in the Canadian dollar and Canada’s poor relative productivity performance are restraining this recovery in net exports...

This leaves considerable monetary stimulus in place, consistent with achieving the 2 per cent inflation target in an environment of significant excess supply in Canada. Any further reduction in monetary policy stimulus would need to be carefully considered.

[2wheelsx2]

Sweet. Good for us with floating rate mortgages.