Canada Ratings Downgraded to AA+ from AAA by Fitch


Bank of Canada Q2 business outlook survey

Q2 business outlook future sales -35.0 vs +22.0 prior
Overall business outlook survey -7.0 vs -0.7 prior (revised to -0.5)

Survey interviews from mid-May to early June

BOC says survey suggests sentiment is strongly negative in all regions and sectors because of the pandemic and drop in oil prices
Businesses expect weakness in domestic and foreign demand to continue
Businesses in most regions and sectors intend to significantly cut their investment spending
Half of exporters expect sales abroad to decrease over next 12 months
Credit conditions have tightened significantly but gov’t measures a helpful offset

BOC survey of consumer expectations
BOC says1-year inflation expectations increased slightly to 2.8% vs 2.5% prior and may reflect a rise in food prices.