Latest news with #TDSECURITIES
Yahoo
12-03-2025
- Business
- Yahoo
Instant View: Bank of Canada cuts benchmark rate by 25 basis points
TORONTO - The Bank of Canada on Wednesday lowered its benchmark interest rate by 25 basis points to 2.75%. MARKET REACTION: [CAD/] LINK: COMMENTS ANDREW KELVIN, HEAD OF CANADIAN AND GLOBAL RATES STRATEGY, TD SECURITIES "My read is that they are going to remain very data dependent (and) that they will continue to ease if economic data starts to deteriorate. But they're not going to commit to a very robust easing path ahead of time, given the uncertainty about both the impacts of the trade tensions and how long the trade tensions will actually persist for." DEREK HOLT, VICE PRESIDENT OF CAPITAL MARKETS ECONOMICS, SCOTIABANK "I think they may be signaling they're done. The final paragraph was quite hawkish. They're saying in so many words that 2% (inflation) is their job and they're more worried about upside than downside risks to that target coming from the trade tensions with the United States." DOUG PORTER, CHIEF ECONOMIST, BMO CAPITAL MARKETS "The move itself was almost entirely expected. ... They're cutting because confidence has slipped in the face of a trade war, but they're certainly not promising a whole lot more. They have to wait to see how a trade war affects inflation. They're worried about both the downside risk to growth, but also the upside risk to inflation from higher tariffs. I think the key here is that they will proceed very cautiously from here. Our view is that if we're still in a full trade war, the bank will keep trimming." Sign in to access your portfolio
Reuters
07-03-2025
- Business
- Reuters
VIEW Canada's economy adds few jobs in February; unemployment unchanged
TORONTO, March 7 (Reuters) - Canada's unemployment in February was unchanged from the prior month and new job additions was only marginally up, data showed on Friday, showing early signs of an impact of uncertainty around U.S. tariffs on hiring decisions of companies. The unemployment rate for February was at 6.6% and the economy added a net of 1,100 jobs, Statistics Canada said. COMMENTARY ANDREW KELVIN, HEAD OF CANADIAN AND GLOBAL RATES STRATEGY AT TD SECURITIES "What makes it difficult to really interpret this data is.. the weather in February was rather poor. I'm more focused on the hours worked number, which suggests a degree of disruption due to weather." "I don't think people in Canada were taking the tariff threat as seriously, really until later in January. February is the first month where we will be able to discern these impacts of uncertainty. And this is the first piece of sort of hard data we have for February, so it bears watching." "If we see this trend emerge over March and over April, I think we can start doing, maybe, a bit firmer conclusions." DOUG PORTER, CHIEF ECONOMIST, BMO CAPITAL MARKETS "I think the market will largely look past this one for a couple reasons. First of all, of course, the big story now is the trade war. And as long as this report wasn't a major outlier, it wasn't going to have much effect. And I would not characterize this as a major outlier." "And the second is, the weather was pretty harsh in the middle of February, so we have to treat this one with a bit of caution in any event." "I guess a couple things that did stand out to me is there was a big drop in total hours worked in the month, especially in manufacturing construction. But that could be weather related." ANDREW GRANTHAM, SENIOR ECONOMIST, CIBC CAPITAL MARKETS "Hiring stalled during February, in what could be the first sign that tariff uncertainty is impacting the Canadian economy." "Given the stall in hiring during February, and ongoing uncertainty regarding tariffs that is likely to have larger negative impacts ahead, we continue to expect a 25 bp (basis point) cut from the Bank of Canada next week."
