Bank of Canada awaits key data before a possible rate hike on Oct 28

Ottawa

Statistics Canada releases September inflation figures on Monday, and the Bank of Canada publishes its quarterly surveys of businesses and consumers the same day.

Expected inflation in September

3 %

RBC assistant chief economist Nathan Janzen expects annual inflation held steady around three per cent in September, mostly because of persistently high gasoline prices.

Janzen calls the Oct 28 decision a "live" meeting where a hike is possible, but not his base case. The bank will weigh price pressures against signs of softness in the labour market and the economy.

"It puts (the Bank of Canada) still in a wait-and-see mode — very, very data dependent."

— Nathan Janzen, RBC economist