Prepared remarks as he begins testifying at House Committee

Headlines from the Poloz testimony: USDJPY trading at 1.2843 at start of testimony

  • Economy close to potential
  • Higher inflation will be due to temporary factors
  • Reiterates that higher rates warranted over time
  • Reiterates that Bank of Canada will remain cautious on rates
  • Bank of Canada to be guided by the incoming data
  • Higher rates will be required over time though some degree of accommodation likely still needed to keep inflation on target
  • Most important risk to the outlook remains protectionist trade policies
  • More economic capacity means economy has more room to grow before inflationary pressures start to build

Below is the link to the opening statement before the House of Commons standing committee on finance:

CLICK HERE

Comments similar to this were make after the rate decision last week. The USDCAD moved higher at the time We are trading near high levels since April 3rd.