Time for that perennial economic forecasting question...
Q9: What will the Bank of Canada target for the overnight rate be at the end of 2015?
0.75% or lower: 15%
1.00%: 20%
1.25%: 25%
1.5%: 20%
1.75% or higher: 20%
The current overnight rate is 1%. Of the big 5 Canadian banks, 1 expects the rate to stay at 1%, 2 expect the rate to increase to 1.25%, and 2 expect the rate to increase to 1.5%. Based on that, an increase to 1.25% or 1.5% seems most likely. An increase to 1.75% (or higher) wouldn't be that surprising either. If there are economic problems, a rate cut is also possible.
No comments:
Post a Comment