Economy · 6 d ago
Doug Ford calls the Bank of Canada's rate hike "a massive mistake" as the housing outlook turns subdued
“Higher rates won’t get oil moving through the Strait of Hormuz or lower tariffs on Canadian businesses. They will only make life more expensive for Canadian families and workers.”
— Ontario Premier Doug Ford
Dillan Payne · CC BY-SA 4.0 · Wikimedia Commons
The bank's report sees a more subdued housing market, as affordability limits, slower population growth and higher borrowing costs weigh on home buying and construction. Rising construction material prices add to the pressure.
Earl Davis of BMO Global Asset Management called the hike premature, while RSM Canada economist Tu Nguyen expects the next one as early as December.
