BoC: Business outlook survey in focus – RBC CM

Analysts at RBC Capital Markets suggest that today’s BoC business outlook survey release will provide an updated look at CA business conditions ahead of the January 18th MPR.

Key Quotes

“The previous release saw some improvement in the balance of opinion on future sales, employment and investment intentions, highlighting that the impact of energy price declines seemed to have bottomed out. On the other hand, inflation expectations remained muted. With the BoC emphasizing “significant” remaining slack in the economy in recent communication, the scope for further improvement this time around seems limited. With the survey period likely to be entirely after the US election result, it will be interesting to note whether policy uncertainty or changing views on US growth prospects have a strong influence (especially on exporters).”