The Bank of Canada now offers up minutes of its decisions and the latest set is out:
- BOC was concerned inflation could get stuck above 2%BOC was concerned inflation could get stuck above 2%
- Ahead of March 8 decision was concerned that inflation could get stuck materially above 2%
- Governing Council felt it was important to stress conditionality of rate hike pause and underline it continued to assess if policy was strict enough
- Agreed would need further accumulation of data to see if matching forecasts
- Agreed that if evidence suggested more persistent inflation, policy would need to rise further
- Elevated core US inflation foreshadowed similar developments in Canada
- Governing Council noted important differences in economies like higher immigration in Canada and better labor force participation
- All participants agreed on March 8 pause
