bank of canada

Canada Signals Japan For Bond Yields

By |2019-04-24T17:45:02-04:00April 24th, 2019|Bonds, Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

Back in October, late October specifically, the Bank of Canada removed the word “gradual” from its policy statement. Inflation, staff Economists projected, was moving up as was the Canadian economy. It was finally time to become more aggressive. Freed from that one word, BoC officials could opt for a “rate hike” at every meeting. It [...]

Canada’s Fallacy Contribution

By |2019-01-23T18:09:55-05:00January 23rd, 2019|Bonds, Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

If there is one small silver lining from 2018’s economic performance, it is that Milton Friedman’s interest rate fallacy is being robustly proven yet again. Many Economists will have you believe that low interest rates, short or long, are stimulus. This is a huge mistake. Here’s what Friedman said in December 1997: As the economy [...]