Posts

• April 20, 2020

  Results of today’s Canada Mortgage Bond purchase operation

  Today the Bank of Canada purchased $ 321,000,000 of Canada Mortgage Bonds in the secondary market.

  Content Type(s): Press, Market notices Source(s): Canada Mortgage Bond Purchase Program
• April 16, 2020

  Opening Statement before the House of Commons Standing Committee on Finance

  Opening statement Stephen S. Poloz House of Commons Standing Committee on Finance Ottawa, Ontario

  Good afternoon, Mr. Chairman and committee members. Senior Deputy Governor Wilkins and I welcome the opportunity to appear before you to discuss the Bank’s policy actions in response to the coronavirus pandemic, as well as our Monetary Policy Report (MPR), which we published yesterday. The Canadian economy is experiencing a significant and rapid contraction. The […]

  Content Type(s): Press, Speeches and appearances, Opening statements Topic(s): Coronavirus disease (COVID-19), Inflation and prices, Monetary policy, Monetary policy transmission, Recent economic and financial developments
• April 16, 2020

  Results of today’s Canada Mortgage Bond purchase operation

  Today the Bank of Canada purchased $ 240,000,000 of Canada Mortgage Bonds in the secondary market.

  Content Type(s): Press, Market notices Source(s): Canada Mortgage Bond Purchase Program

• Learning, Equilibrium Trend, Cycle, and Spread in Bond Yields

  Staff Working Paper 2020-14 Guihai Zhao

  This equilibrium model explains the trend in long-term yields and business-cycle movements in short-term yields and yield spreads. The less-frequent inverted yield curves (and less-frequent recessions) after the 1990s are due to recent secular stagnation and procyclical inflation expectations.

  Content Type(s): Staff research, Staff working papers Topic(s): Asset pricing, Financial markets, Interest rates JEL Code(s): E, E4, E43, G, G0, G00, G1, G12
• April 16, 2020

  CORRA illustrative time series updated to include additional data from February to April, 2020

  As announced on February 18, 2020, the Bank of Canada will take over the responsibility for publishing the Canadian Overnight Repo Rate Average (CORRA), effective Monday, June 15, 2020.

  Content Type(s): Press, Market notices Source(s): Canadian Alternative Reference Rate Working Group

• Interest Rate Uncertainty as a Policy Tool

  Staff Working Paper 2020-13 Fabio Ghironi, Galip Kemal Ozhan

  We study a novel policy tool—interest rate uncertainty—that can be used to discourage inefficient capital inflows and to adjust the composition of external account between shortterm securities and foreign direct investment (FDI).

  Content Type(s): Staff research, Staff working papers Topic(s): International financial markets, Monetary policy and uncertainty, Monetary policy framework JEL Code(s): E, E3, E32, F, F2, F21, F3, F32, G, G1, G15

• Multi-Product Pricing: Theory and Evidence from Large Retailers in Israel

  Staff Working Paper 2020-12 Marco Bonomo, Carlos Carvalho, Oleksiy Kryvtsov, Sigal Ribon, Rodolfo Rigato

  Standard theories of price adjustment are based on the problem of a single-product firm, and therefore they may not be well suited to analyze price dynamics in the economy with multiproduct firms.

  Content Type(s): Staff research, Staff working papers Topic(s): Inflation and prices, Market structure and pricing, Monetary policy JEL Code(s): D, D2, D21, D22, E, E3, E31, E5, E52, L, L1, L11
• April 15, 2020

  Bank of Canada to Introduce a Provincial Bond Purchase Program

  The Bank of Canada today announced its intention to introduce a Provincial Bond Purchase Program (PBPP) to further support the liquidity and efficiency of provincial government funding markets.

  Content Type(s): Press, Market notices Source(s): Provincial Bond Purchase Program
• April 15, 2020

  Bank of Canada announces increase in the amount of Government of Canada treasury bills it acquires at auction

  The Bank of Canada announced today that, to support continued liquidity and efficient functioning of the federal government’s treasury bill program, it is temporarily increasing the amount of treasury bills it acquires at auctions to up to 40 per cent, effective immediately.

  Content Type(s): Press, Market notices
• April 15, 2020

  Bank of Canada to Introduce a Corporate Bond Purchase Program

  In order to support the efficient and continuous functioning of financial markets, the Bank of Canada is announcing its intention to introduce a Corporate Bond Purchase Program (CBPP).

  Content Type(s): Press, Market notices Source(s): Corporate Bond Purchase Program