Due at 10am Eastern Time, which is 1400 GMT. This Bank of Canada policy meeting will result in a statement-only decision.

That is:

  • no press conference
  • no Monetary Policy Report (and therefore no update to forecasts)

However, on Thursday 10 June 2021 Deputy Governor Lane will speak,

Earlier preview is here:

Preview via Scotia (in brief previews):

  • this will be a maintenance statement on the path toward a potentially more interesting July meeting
  • Apart from the limited communication tools available at this coming meeting, another reason is that we're probably not at an inflexion point just yet when cautious, risk management-oriented and data dependent central bankers would be comfortable with pursuing policy exits in a straight-line meeting-by-meeting sense. In fact, the BoC has made it very clear that they will taper in 'gradual and measured fashion' so going bing, bang, boom at each meeting doesn't sound like it would be in keeping with their cautious approach. That's probably especially true during a soft patch in the economy that has lost jobs for two months while losing some of its resilience by shrinking in April-all while the BoC talks through transitory upsides to inflation readings to avoid over-reacting to limited inflation readings to date.

Bank of Montreal:

  • BoC is widely anticipated to hold policy rates and QE steady at its June 9th meeting.
  • While the outlook remains quite positive, the events of the past year imply that the BoC will continue with caution in pulling back on stimulus.
  • The BoC is not expected to make any policy changes at the upcoming announcement.
  • The recent strength in the CAD, combined with softer-than-expected GDP growth in Q1 and possibly in Q2, will likely prompt the bank to tone down the significant optimism seen in April.
  • As a result, don't expect any further tapering indications at this meeting, with the next action on QE not expected until October.

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BOC tapering has proceeded slowly and cautiously:

  • in October 2020 bond purchases were cut from from $5bn/week to $4b+
  • And in April 2021 from $4bn+ to $3bn
Bank of Canada policy meeting