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CANADA BOC: Gov Stephen Poloz says rates likely to rise over time but 
cannot take mechanical approach to monetary policy. To remain cautious. 
'Heightened' uncertainty about US trade policies. Still sees 'some 
slack' remaining in labor market. But Good reason to be optimistic 
about Cdn econ. Econ reached phase where need invstmnt to meet 
dmd. Youth, women, new immigrants, disabled are untapped sources of 
potential growth. Cdn labor force could expand by 0.5m workers, which 
cld increase potentl output by as much as 1.5% per yr. Remarks in 
lecture at Queen's University, Kingston, ON. 

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