• Thursday, April 2, 2020 - 15:31 MNI POLICY: US's Direct Aid Checks Too Small, Canada Suggests 0


    --Finance Minister Touts His Bigger Payments To Neediest

    OTTAWA (MNI) - Canadian Finance Minister Bill Morneau said his country's plan to send larger COVID-19 relief payments to the neediest families will be more effective than what the U.S. is doing.

    "Many people will have seen that the United States for example is talking about sending a check for twelve hundred dollars to every American," Morneau told the House of Commons finance committee Thursday. "We came to the conclusion quite rapidly that sending a modest amount like that to every Canadian is not nearly as advantageous as sending more money to those people who are actually impacted by COVID-19."

    ...
  • Thursday, April 2, 2020 - 09:01 MNI DATA REACT:Canada Feb Trade Deficit Had Small Virus Impact 0


    --Trade Deficit Improvement On Aircraft and Car Exports Likely to Fade

    OTTAWA (MNI) - Canada's trade balance showed a surprise improvement in February, a month when the early restrictions around COVID-19 were taking hold and protests blocked railway shipments.

    The trade deficit narrowed to CAD983 million from CAD1.7 billion in January, Statistics Canada said Thursday from Ottawa. The MNI economist median was for a widening to CAD2.2 billion.

    Trade data will likely worsen in March as major auto factories shut down, energy prices were volatile and the aviation industry was roiled by travel warnings, Statistics Canada said.

  • Thursday, April 2, 2020 - 06:10 MNI POLICY: ECB Extends Policy Review, Postpones Sintra Forum 0


    By Luke Heighton

    FRANKFURT (MNI) - The European Central Bank has extended its review of its monetary policy strategy by six months, as it focuses on addressing the challenges posed by the coronavirus pandemic, it announced Thursday.

    The review, which had been expected to report by the end of 2020, is not expected to be completed until mid-2021.

    The deadline for written submissions from euro area citizens via the online ECB Listens Portal has been moved to the end of August 2020.

    The annual ECB Forum on Central Banking in Sintra, which had been slated for June 2020, has been postponed to Nov.

  • Thursday, April 2, 2020 - 01:58 MNI POLICY: Uncertainty May Push BOJ To Skip GDP, CPI Outlook 0


    By Hiroshi Inoue

    TOKYO (MNI) - Heightened uncertainties surrounding the coronavirus outbreak will make it difficult for the Bank of Japan's board to publish medium-term forecasts for economic growth and inflation.

    BOJ economists admit they are having great difficulty implementing usual economic assessments and forecasting the outlook, as the current climate is considerably different from the normal conditions.

    It is also highly uncertain when and how the outbreak will slow or end, allowing economic activity to return to normal.

    --DATA NOT USEFUL

    Already released data aren't helpful in addressing the outlook, as the impact of the coronavirus wasn't -- if at all -- a great factor.

    BOJ...

  • Wednesday, April 1, 2020 - 14:00 MNI POLICY: Fed's Rosengren Warns Financial Crisis May Loom 0


    By Evan Ryser

    WASHINGTON (MNI) - Federal Reserve Bank of Boston President Eric Rosengren on Wednesday said he does not have a fatalistic assessment of the U.S. economy, but the COVID-19 pandemic does threaten a financial crisis.

    Rosengren, speaking in a virtual talk hosted by the Greater Boston Chamber of Commerce, said social distancing has "stilled our strong economy" and has "been distorting the credit and liquidity flows that underpin our economy, threatening the greater pain of a full-blown financial crisis."

    He also expects the unemployment rate to rise "dramatically," with social distancing posing a great challenge for low-income workers.

  • Wednesday, April 1, 2020 - 06:30 MNI POLICY: BOC's March Market Notices Near All-Time Record 0


    By Greg Quinn

    OTTAWA (MNI) - Canada's central bank ramped up its publication of notices to financial markets in March as it sought to keep trading liquid through the COVID-19 pandemic.

    The Bank of Canada posted 36 notices on the month, the highest amount since the 38 notices published in March 2009, the height of the financial crisis, according to records back to 2000 reviewed by MNI.

    The balance tips towards more updates delivered this March than in 2009 if you count three regular press releases devoted to touting new market tools.