Fed rate hike a positive sign for Canadian economy – The Globe and Mail

“It’s a double-edged sword,” said Avery Shenfeld, chief economist with CIBC. “If the Fed has hiked a few times by the end of 2016, it’s a sign that the U.S. economy is doing well enough to justify that. Which leans against another rate cut by the Bank of Canada. But the other side of that is that if it starts pushing up five-year [bond] rates, we may be in for a cut to offset that.”

 

Source: Fed rate hike a positive sign for Canadian economy – The Globe and Mail