BoC’s Lane: Domestic economy is resilient but not immune

The Bank of Canada (BoC) Deputy Governor Timothy Lane was out with some comments in the last hour saying that notable economic strengths and on-target inflation mean the domestic economy is resilient, but not immune.

Additional quotes:

   •  Global economic uncertainty is likely to persist even if the US and China reach a trade deal.
   •  Global uncertainty is likely to have a lasting effect.
   •  Damaging effects of trade conflict are only partially offset by easier monetary policy.
   •  The tone of developments in recent weeks gave the bank more confidence in its October outlook for growth and inflation.
   •  Canadian employment wage growth data suggest the labor market is continuing to tighten.
   •  There is no reason for the BoV to move in step with the US Fed when it comes to interest rate moves.
   •  In hindsight moves in Canada and the US toward balance budgets starting in 2010 were premature.