The Financial Post reports in its Friday, May 31, edition that the Bank of Canada is confident the economic slump is already over. The Post's Kevin Carmichael writes that the BOC did two things this week that some on Bay Street and Wall Street have been unwilling to do: It embraced the recent streak of too-good-to-be-true hiring data as true, and it waved off bond prices that suggest traders are less optimistic about the future than Governor Stephen Poloz and his deputies on the Governing Council.
Franklin Bissett Investment manager Darcy Briggs is dubious.
Policy makers appear to have anticipated that they would have some convincing to do.
Senior deputy governor Carolyn Wilkins addressed both the bond market and the labour market in a speech in Calgary on Thursday.
Skeptics say measurement issues are skewing Statistics Canada's results. The skeptics anticipate a big reversion.
No one would be surprised if Statcan's volatile Labour Force Survey plunged back to Earth. Ms. Wilkins said construction and oil and gas companies have been reducing hours as their industries struggle, rather than fire people.
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