BoC Deputy Governor Timothy Lane said in a speech that, “the bottom line is that the Canadian economy has been largely on track with our story.”Vaccinations are also rolling out “at, or faster than, the pace we assumed in April”. Other economies are also picking up “smartly as they have reopened”. The developments are “encouraging” and suggest that “we are on track for a strong consumer-led recovery as containment measures ease here in Canada.”
Some decisions on further adjustment on asset purchases could be made in July. Lane reiterated that “if the recovery evolves in line with or stronger than in our latest projection, then the economy won’t need as much QE stimulus over time”. BoC would have the “coming weeks” to assess the reopening in Canada, and there will be an updated outlook in July too.
