Live Updates > Live Update Details
2026-05-29 22:06:35
[Institution: Bank of Canada May Not Consider Rate Cuts After Q1 GDP Decline] Royce Mendes, Managing Director of Capital Markets at Cooperative Bank of Canada, said the Bank of Canada is unlikely to overreact to the unexpected 0.1% annualized decline in Q1 GDP. He pointed out that Canada's per capita GDP grew at an annualized rate of nearly 1% in Q1. Mendes said, "The fact that per capita GDP actually grew will limit the central bank's ability to respond to an economic slowdown." Mendes maintained his forecast that the Bank of Canada will not change its interest rate policy until 2026, stating that fixed-income traders are beginning to reduce their bets on rate hikes following the weaker-than-expected GDP report.
