I posted earlier on the 100% of economists calling an unchanged rate decision from the BOC on May 29

A little more, this via a note from Morgan Stanley. The banks sees

  • little impetus for policymakers to resume rate hikes over our forecast horizon

MS citing:

  • sluggish growth
  • lingering slack in the economy

as justifying leaving some policy accommodation in place


Further out:

  • "If growth fails to show any convincing signs of a rebound in 2H19, we think the risks of rate cuts will increase, and given our sluggish outlook, we place a subjective 40% probability that the BoC will deliver at least one 25 basis point rate cut over the next 12 months."