July 15, 2024 Business Outlook Survey—Second Quarter of 2024 Results from the Business Outlook Survey and the Business Leaders’ Pulse continue to signal weak demand, which is weighing on investment and hiring plans. While few firms are planning layoffs, labour markets are widely seen as continuing to soften. Although they remain above average, wage and inflation expectations are easing. Most firms that made abnormally large price increases in the past 12 months do not plan to do so again in the coming year. Content Type(s): Publications, Business Outlook Survey
July 15, 2024 Canadian Survey of Consumer Expectations—Second Quarter of 2024 Consumers’ perceptions of inflation are unchanged from a quarter ago, but their expectations for near-term inflation declined significantly. While both measures have improved substantially in recent quarters, they remain higher than they were before the COVID‑19 pandemic. Most consumers continue to think that domestic factors are contributing to high inflation. Sentiment remains subdued and unchanged from last quarter, as high inflation and elevated interest rates continue to constrain people’s budgets. Perceived financial stress remains high, most consumers continue to report spending cuts, and pessimism about future economic conditions persists. Canadians’ perceptions of the labour market have weakened this quarter, especially among private sector employees. Yet overall wage growth expectations reached a new survey high, driven by public sector employees. Content Type(s): Publications, Canadian Survey of Consumer Expectations
July 15, 2024 The Bank of Canada releases the second quarter issues of the Business Outlook Survey and the Canadian Survey of Consumer Expectations On Monday, July 15, 2024, the Bank of Canada will release the second quarter issues of the Business Outlook Survey and the Canadian Survey of Consumer Expectations. Content Type(s): Press, Media advisories
July 12, 2024 Bank of Canada announces increases to the dealer and round limits for Overnight Repo operations Effective Monday, July 15, 2024, dealer limits for Overnight Repo (OR) operations will increase to $3 billion for each eligible participant from the previous $1 billion. Content Type(s): Press, Market notices Source(s): Overnight repo operations
The Ecology of Automated Market Makers Staff Discussion Paper 2024-12 Annetta Ho, Cosmin Cazan, Andrew Schrumm This paper describes the ecology of automated market makers, which are the most popular decentralized exchange model for the pricing and trading of crypto assets within decentralized finance. Content Type(s): Staff research, Staff discussion papers Topic(s): Digital currencies and fintech, Financial markets, Financial stability, Financial system regulation and policies JEL Code(s): G, G1, G2
The Role of Public Money in the Digital Age Staff Discussion Paper 2024-11 Francisco Rivadeneyra, Scott Hendry, Alejandro García A well-functioning monetary system is characterized by public and private forms of money that exchange at par as value flows freely between them. A relevant retail public money—whether in the form of cash, a central bank digital currency or both—is a necessary component of such a monetary system. Content Type(s): Staff research, Staff discussion papers Topic(s): Central bank research, Digital currencies and fintech, Payment clearing and settlement systems JEL Code(s): E, E4, E42, E5, E50, E58
Untapped Potential: Mobile Device Ownership and Mobile Payments in Canada Staff Working Paper 2024-25 Marie-Hélène Felt, Angelika Welte, Katrina Talavera We present a two-stage model of mobile phone and mobile payment usage that controls for selectivity. This reveals unobserved factors that work against having a mobile phone and toward mobile paying. Therefore, people who are unable to acquire or choose not to own a mobile device might have unmet payment needs. Content Type(s): Staff research, Staff working papers Topic(s): Bank notes, Digital currencies and fintech, Econometric and statistical methods JEL Code(s): C, C3, C39, D, D1, D12, E, E4, E42
July 9, 2024 What drives up the price of groceries Weather, energy prices, and labour and import costs all contribute to higher grocery prices Content Type(s): Publications, The Economy, Plain and Simple Topic(s): Exchange rates, Inflation and prices, Inflation targets, Labour markets