Wage-price spiral risk down, inflation forecast to fall to 2% by 2024
For now, the central bank's worries are far removed from fears of deflation
“If things get out of hand” BoC “might have to raise rates again,” says TD’s Orlando
The annual inflation rate slowed last month to 6.3%
Businesses and consumers expect inflation to remain elevated in the short term and ease within five years
Settlement balances helped finance pandemic quantitative easing
Wages up 5.1%, unemployment rate at 5.0%
Rising rates would influence the depth of the impending slowdown
Mortgage interest costs up 14.5%
Rate tightening “likely has reached its zenith,” CIBC economist predicts