From Bloomberg/The Star
The head of Canada’s largest exporters association has a message for Bank of Canada Governor Stephen Poloz: don’t do us any favours.
Speculation Poloz will cut interest rates again as early as Wednesday is fuelling the Canadian dollar’s precipitous fall and may be doing more harm than good, says Jayson Myers, chief executive of Canadian Manufacturers & Exporters. Exchange rate volatility is putting a chill on business decisions and renewed talk of lower rates is stoking worries about the economy’s health, all of which is bad for confidence, he said.
“My advice right now would be to even take a look at increasing interest rates by a quarter of a point,” Myers said by telephone. “Interest rates are low already. A little bit of dollar stability would be better.”