Changing outlook to BoC rate call - Rabobank

A research note from Rabobank's Financial Markets Research is out detailing the bank's revised outlook on the Bank of Canada's (BoC) upcoming rate meeting, where Rabobank previously expected a rate hike from the BoC.

Key quotes (source: Rabobank)

Rabobank notes that, "We have long been at the more dovish end of the scale in terms of our BoC forecasts. At the end of last year we expected two rate hikes in 2018 when the consensus was closer to four."

"We were of the view that the BoC would need to raise rates early on in 2018 as data would turn for the worse heading into H2, thus preventing the BoC from hiking later on in the year."

Rabobank concluded by saying that, "data have turned faster than even we expected and the BoC has become notably more dovish with a trio of cautious speeches over the past month. We now see the BoC on hold in 2018."