Comments from the new BOC leader

When the Bank of Canada launched QE, then-leader Poloz went to great lengths to emphasize that it was about market functioning. That goalpost has certainly been moved.


  • Not all the jobs lost will come back
  • Job growth expected to re-accelerate
  • July MPR will show scenarios rather than forecasts
  • Reiterates policy will be at the effective lower bound
  • Ready to ramp up liquidity programs if they are needed
  • Further actions to be calbrated to achieve target
  • Repeats that 0.25% is the lower bound for rates
  • Market functioning has improved considerably

There has been little reaction in the Canadian dollar on the comments. This is the first time that Macklem has really addressed monetary policy.