• Home
  • Analytics
  • Market News
  • Canada sees improvement in Q4 business sentiment – RBC

Market news

14 January 2020

Canada sees improvement in Q4 business sentiment – RBC

Josh Nye, the senior economist at the Royal Bank of Canada (RBC), notes that yesterday's Canadian Business Outlook Survey showed a modest improvement in sentiment in the late stages of 2019, suggesting a recent run of soft data overstated the economy's slowdown in H2/19.

  • "Indicators of future sales strengthened and hiring intentions picked up, though the capex outlook softened after some large projects were completed. Concerns about trade tensions were less prevalent (even though the survey period closed slightly before a US-China phase-one deal was reached, Brexit was sorted out, and odds of USMCA ratification rose) though concerns about US protectionism remained. Perhaps most significantly for the BoC, the economy appears to be operating close to full employment outside the Prairies with firms continuing to report capacity pressures and labour shortages. Even in the Prairies, where sales growth slowed further, there were reports that the energy sector may have bottomed out toward the end of last year.
  • An improvement in business sentiment in Q4 and indications the economy remains close to full capacity give the BoC reason to discount some of the soft economic data we saw in late-2019. So while the BoC looks set to mark down its Q4/19 GDP growth forecast in January, its tone likely won't be as pessimistic."

Material posted here is solely for information purposes and reliance on this may lead to losses. Past performances are not a reliable indicator of future results. Please read our full disclaimer.

Open Forex Demo Account
I understand and accept the Privacy Policy and agree that my name and contact details can be used by TeleTrade to contact me about the information I have selected.
37 International Awards
Have a question?

We are ready to assist you in every step of your trading experience
by providing 24/5 multilingual customer support.

Follow us

Risk Warning: Trading Forex and CFDs on margin carries a high level of risk and may not be suitable for all investors. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Prior to trading, you should take into consideration your level of experience and financial situation. TeleTrade strives to provide you with all the necessary information and protective measures, but, if the risks seem still unclear to you, please seek independent advice.

© 2011-2020 TeleTrade-DJ International Consulting Ltd

TeleTrade-DJ International Consulting Ltd is registered as a Cyprus Investment Firm (CIF) under registration number HE272810 and is licensed by the Cyprus Securities and Exchange Commission (CySEC) under license number 158/11.

The company operates in accordance with Markets in Financial Instruments Directive (MiFID).

The content on this website is for information purposes only. All the services and information provided have been obtained from sources deemed to be reliable. TeleTrade-DJ International Consulting Ltd ("TeleTrade") and/or any third-party information providers provide the services and information without warranty of any kind. By using this information and services you agree that under no circumstances shall TeleTrade have any liability to any person or entity for any loss or damage in whole or part caused by reliance on such information and services.

TeleTrade cooperates exclusively with regulated financial institutions for the safekeeping of clients' funds. Please see the entire list of banks and payment service providers entrusted with the handling of clients' funds.

Please read our full Terms of Use.

To maximise our visitors' browsing experience, TeleTrade uses cookies in our web services. By continuing to browse this site you agree to our use of cookies. You may change your cookie consent or view our cookie declaration here.

TeleTrade-DJ International Consulting Ltd currently provides its services on a cross-border basis, within EEA states (except Belgium) under the MiFID passporting regime, and in selected 3rd countries. TeleTrade does not provide its services to residents or nationals of the USA.

Material posted here is solely for information purposes and reliance on this may lead to losses. Past performances are not a reliable indicator of future results. Please read our full disclaimer.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.