Mark Chandler Canada Quotations

You have firm inflation. The Bank of Canada has to continue tightening to keep it in check. Clearly it makes 4.25 percent more likely than 4 percent.

Usually Canadian data doesn't mean that much but we were so close to testing the previous (dollar/Canada) lows that when we got better productivity numbers it gave the market a push.

The simple fact that the trade sector has ceased to be a significant drag on growth will be enough to convince the Bank of Canada to move on September 7 (and beyond).

The (Bank of Canada is) priced for 4 percent and this is consistent with that right now, although they are in data-watching mode.

The Bank of Canada may raise the rate to 4 percent and pause. Initial reaction is a weaker Canadian dollar.

The Bank of Canada still has a constructive view on economic growth. They may be likely to raise interest rates more.

The economy is firmly in expansion mode so the Bank of Canada will take rates higher. Higher short-term rates will push up yields.