16:11:56 EDT Thu 02 May 2024
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Royal Bank of Canada
Symbol RY
Shares Issued 1,414,684,980
Close 2024-04-05 C$ 139.11
Market Cap C$ 196,796,827,568
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Globe says TD, rivals expect BOC to stand pat on rates

2024-04-08 07:19 ET - In the News

See In the News (C-TD) Toronto-Dominion Bank

The Globe and Mail reports in its Monday, April 8, edition that the Bank of Canada is expected to leave interest rates unchanged this week for the sixth time, but analysts are watching for a shift in tone that could signal rate cuts over the summer. The Globe's Mark Rendell writes that the BOC has maintained its policy rate at 5 per cent, which is the highest it has been in two decades, since July. However, due to the sluggish economy and inflation being within the bank's target range, numerous economists and traders on Bay Street anticipate a change in monetary policy in the upcoming months, possibly as soon as June. The next rate decision is on Wednesday. Until then, the question is how much Governor Tiff Macklem wants to tip his hand. RBC economist Nathan Janzen says, "Our thought is that they'll still try to keep their options open." He notes that the BOC stopped warning about potential rate hikes in January. Since then, he says, "they've been pretty noncommittal about when the first interest rate cuts might come." One reason central bankers may opt to stand pat on Wednesday is that they do not yet know what Ottawa's fiscal path will be for the next year. The federal budget is set to be released next week.

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