Economics
Blockbuster Run of Data Casts Doubt on Poloz's Divergence Narrative
- Central bank chief says Canada has much more slack than U.S.
- Recent robust data suggest countries are on more even footing
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The Canadian economy has “a lot more room to grow” than its American counterpart, the head of the country’s central bank Stephen Poloz said last week, pushing back against the idea he would soon follow his peers stateside in lifting interest rates.
Such an assessment of the relative amount of slack between the two nations would have been uncontroversial in 2015, when back-to-back quarters of economic contraction amid the collapse in commodity prices elicited a pair of rate cuts from the Bank of Canada.