BOC deputy Governor Lane says that the Canadian economic recovery is proceeding more rapidly than expected. On the other hand, the strong CAD, poor productivity and low US demand are acting as a drag on the Canadian economy. Downside risks are the bank’s main focus as it assesses financial stability and any further rate hikes spend on the outlook for growth and inflation, Lane says.
USD/CAD trades at mid-range on the day, at 1.0225.
