Bloomberg

Governments Shunting ‘Dirty Work’ on Inflation to Bank of Canada, CIBC Says

CIBC warns that Bank of Canada will have to keep rates higher for longer unless governments do more to dial back their spending. Cutting back further on state largesse would help to cool demand and additional fiscal tightening may mean interest rates start to fall earlier.

Bank of Canada may have to keep rates higher for longer due to government's spending.
CIBC economists suggest cutting back further on state largesse to cool demand.
Provinces ratcheted up spending, adding stimulus even with the central bank in the midst of an aggressive rate-hiking cycle.
Additional fiscal tightening may mean interest rates start to fall earlier, relieving some pain for households.
Nearly 70% of respondents to a Bloomberg survey say generous federal spending programs and higher immigration targets have led to steeper interest rates.

Charting the Global Economy: Central Banks Hold as Prices Cool

Central banks around the world are pausing tightening campaigns as inflation eases and economies slow. Inflation-targeting regimes are keeping their own houses in order, while the US Fed's key inflation gauges fell to the slowest annual paces since late 2021.

Factbox: Turkey earthquake and some of the worst natural disasters of this century

Two massive earthquakes on Monday have devastated cities and towns across Turkey and Syria, with death toll of over 16,000. This is one of the worst natural disasters this century, alongside the 2004 Sumatran Tsunami, 2010 Haiti earthquake and 2008 Cyclone Nargis.

Take Five: Strap in for no landing

A raft of U.S. data and European inflation numbers will give guidance on how the world's top central banks will navigate the way ahead, including the hotly debated "no landing" scenario. Reports on U.S. durable goods orders, home prices, manufacturing and consumer confidence threaten to cement expec

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