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BoC Projections As Expected For CPI, GDP A Little Hotter But With Payback

CANADA
  • A little less near-term inflation (2.2% Y/Y for end-2024 vs 2.4% prior) with no change thereafter.
  • Stronger near-term GDP growth (2.1% Y/Y for end-2024 vs 1.6% prior) with payback in 2025 (2.2% Y/Y vs 2.7% prior).
  • The neutral rate estimate was indeed lifted 25bps to a 2.25-3.25% range.

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