Bank of Canada Surveys Show Firms Plan Price Pass-Through as Outlook Indicator Rises to -0.33
Updated
Updated · Bloomberg · Oct 19
Bank of Canada Surveys Show Firms Plan Price Pass-Through as Outlook Indicator Rises to -0.33
3 articles · Updated · Bloomberg · Oct 19
Summary
Bank of Canada surveys found more firms expect to pass higher input costs on to customers, adding to signs that inflation expectations are moving up.
Higher costs drove that shift even as overall business sentiment improved in the third quarter and firms reported better sales outlooks.
The bank’s business outlook indicator edged up to -0.33, showing sentiment remained slightly negative despite the improvement.
Most survey responses were collected before US-Canada trade talks broke down at the end of August, limiting how much the results capture the latest trade tensions.