MARCH 1st, 2011 -BANK OF CANADA- NO CHANGE FOR THE OVERNIGHT RATE(ZT)

郭森房贷

OTTAWA - The Bank of Canada today announced that it is maintaining its target for the overnight rate at 1 per cent. The Bank Rate is correspondingly 1 1/4 per cent and the deposit rate is 3/4 per cent.

The global economic recovery is proceeding broadly in line with the Bank's projection in its
January Monetary Policy Report (MPR), although risks remain elevated. U.S. activity is
/ B0 n  h. G# Y# U5 E  msolidifying and remains supported by stimulative fiscal and monetary policies. Ongoing
& v- x  F, u7 D& |) I! Vchallenges 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. Robust demand from
- t2 J# i7 ^' F! C) I  D( B$ femerging-market economies is driving the underlying strength in commodity prices, which could
* a4 ?6 ^. D8 J7 q2 b& {- i% |be further reinforced temporarily by supply shocks arising from recent geopolitical events.
- `5 g/ {$ M* S/ _, g
The recovery in Canada is proceeding slightly faster than expected, and there is more evidence of
! b+ q- h5 P8 Dthe anticipated rebalancing of demand. While consumption growth remains strong, there are
1 c% s, E( a6 L" w* F7 c7 H% ]# Csigns that household spending is moving more in line with the growth in household incomes.
3 N+ r3 a7 D$ [0 r3 y% @Business investment continues to expand rapidly as companies take advantage of stimulative
financial conditions and respond to competitive imperatives. There is early evidence of a
  |" h2 p; |7 A0 N7 E% @% d% _recovery in net exports, supported by stronger U.S. activity and global demand for commodities.
However, the export sector continues to face considerable challenges from the cumulative effects
3 u! b. P8 c6 }: |4 E! q& gof the persistent strength in the Canadian dollar and Canada's poor relative productivity
performance.
$ b" b* h" U* k+ I4 b
2 a' E9 c+ S/ A9 K0 T. q' l% _While global inflationary pressures are rising, inflation in Canada has been consistent with the
Bank's expectations. Underlying pressures affecting prices remain subdued, reflecting the
considerable slack in the economy.

7 y9 L* W$ @8 _Reflecting all of these factors, the Bank has decided to maintain the target for the overnight rate
at 1 per cent. 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.
Information note:

/ S6 C5 }7 ~, s' W" v4 zThe next scheduled date for announcing the overnight rate target is 12 April 2011.

小黄

It won't be changed for a long time.

web123

but banks will raise mortgage rate, for sure.