Brexit talks have made progress with deal possible by early November

The Bank of Canada today maintained its target for the overnight rate at the effective lower bound of ¼ percent, with the Bank Rate at ½ percent and the deposit rate at ¼ percent. The Bank is maintaining its extraordinary forward guidance, reinforced and supplemented by its quantitative easing (QE) program. The Bank is recalibrating the QE program to shift purchases towards longer-term bonds, which have more direct influence on the borrowing rates that are most important for households and businesses. At the same time, total purchases will be gradually reduced to at least $4 billion a week. The Governing Council judges that, with these combined adjustments, the QE program is providing at least as much monetary stimulus as before. The global and Canadian economic outlooks have evolved largely as anticipated in the July Monetary Policy Report (MPR), with rapid expansions as economies reopened giving way to slower growth, despite considerable remaining excess capacity. Looking ahead, rising COVID-19 infections are likely to weigh on the economic outlook in many countries, and growth will continue to rely heavily on policy support. In the United States, GDP growth rebounded strongly but appears to be slowing considerably. China’s economic output is back to pre-pandemic levels and its recovery continues to broaden. Emerging-market economies have been hit harder, especially those with severe outbreaks. The recovery tweet at 10:01am: BANK OF CANADA SAYS TO SHIFT QE PURCHASES TOWARDS LONGER-TERM BONDS tweet at 10:02am: Bank Of Canada Gradually Reducing Purchases To C$4B Per Week tweet at 10:02am: Bank of Canada says pandemic's second wave to hit near term growth - RTRS "There is a serious risk, however, that broader or more intensive restrictions could be required" expects smaller economic contraction in Canada in 2020, as compared with its July update https://t.co/NwavHDNRTt tweet at 10:00am: *BANK OF CANADA KEEPS BENCHMARK OVERNIGHT RATE AT 0.25% *BANK OF CANADA SEES OUTPUT GAP, BELOW 2% INFLATION THROUGH 2022

The Bank’s mandate is to conduct monetary policy to promote the economic and  nancial well-being of Canadians.  Canada’s experience with in ation targeting since 1991 has ...

tweet at 9:50am: France Preparing To Announce Stay At Home Order This Week– RTRS France Gvt Sources tweet at 9:51am: A reminder that Macron is due to address the nation at 19:00GMT. https://t.co/GiE1v9A2gC tweet at 9:51am: The new restrictions would be similar to the Spring ones however keeping schools open according to the sources. #Coronavirus $EUR