BOC to stand pat on Wednesday – RBC

Analysts at Royal Bank of Canada (RBC) believe that the Bank of Canada (BOC) is likely to stand pat on its monetary policy decision, due to be announced later on Wednesday at 1400 GMT.

Key Quotes:

“BoC can reasonably argue that not much has changed since their last communication

Dataflow has been neutral to positive overall and the October 22nd Business Outlook Survey was slightly better than anticipated (tightening capacity constrains, solid investment intentions).

The US growth concerns were cited by firms, however, and nonenergy export prospects are dim as US IP has slipped to negative YoY. 

We do not anticipate any changes to the policy directive that the current degree of accommodation remains appropriate.”