Comments from Macklem in the BOC press conference

  • We lowered US growth projections due to the recent spike in virus cases
  • Lower US forecasts spill over into Canadian exports
  • We are being unusually clear on forward guidance to show rates will be low for a long time
  • Our message is that it's going to be a long climb back and we're going to be there the whole time
  • The message is that interest rates are going to be low for an extended period
  • The end of quantitative easing is "a long way off"
  • We have the tools we need to exit when the time comes, but that is some ways off
  • The virus is going to be with us for some time
  • Rates won't move until the output gap closes

The press conference has ended now and the loonie was strong throughout even as risk trades ebb.