While inflation expectations among businesses are steadily falling, Canadian consumers continue to expect elevated price growth in the near term.
The Bank of Canada’s two key surveys also found an overall improvement in sentiment in the first quarter among both consumers and businesses, despite the drag continued high interest rates are placing on the economy.
Among the findings, the Bank also reported that more consumers are considering or planning to purchase a home in the next 12 months (more details on that below).
Businesses see pricing behaviour normalizing
While demand remains weak, business leaders report a returning sense of optimism, particularly when it comes to business conditions, sales outlooks and employment intentions, according to the Q1 Business Outlook Survey, which is based on interviews with senior management from…
