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The Canadian economy is stuck in neutral, dragged down by debt-laden households and deficit-fighting governments, Toronto-Dominion Bank said in its quarterly forecast released today.
Cross-border shopping is costing the Canadian economy much more than believed and new rules raising duty-free limits will only make matters worse, says a new report by the Bank of Montreal.
The Bank of Canada kept its target for the overnight rate steady at 1.0 per cent on Tuesday, citing a worsening global economy for the need to maintain the current level of stimulus.
A major Canadian bank says the economy ground to a halt in the second quarter and could slip into recession if the United States continues to weaken.
The Bank of Canada is leaving its key interest rate unchanged at one per cent as it monitors the slowing economy and fears of a weaker-than-projected recovery in the United States.
Boosting Palestinian health, education and the economy will also boost the chances for peace, said Ontario Premier Dalton McGuinty, while on a trade delegation to Israel and the West Bank.
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