BoC's Wilkins: Continued stimulus likely to be "required for a time" to take into account number of factors

Bank of Canada (BOC) Governor Stephen Poloz and Senior Deputy Governor Carolyn A. Wilkins are delivering their remarks on the monetary policy implementation in a press conference, providing key quotes, via Reuters, found below.

Wilkins: We do not know how trade talks will conclude; do not know how govts will react to whatever outcome is reached.

Wilkins: Trying to qualify any particular trade scenario would not be useful at this point for monetary policy purposes.

Wilkins: Trade policy changes can work through multiple channels that affect both demand and supply over time; can also affect asset prices, exchange rate.

Wilkins: Whatever trade agreement outcome, "we will be ready to assess impact as it unfolds", adjust policy in timely way, if required.

Wilkins: Continued stimulus likely to be "required for a time" to take into account number of factors.

Key notes

Bank of Canada increases overnight rate target to 1.25% from 1%.

While the economic outlook is expected to warrant higher interest rates over time, some continued monetary policy accommodation will likely be needed to keep the economy operating close to potential and inflation on target.

Bank of Canada hikes again, but NAFTA worries persist - ING.

"The Canadian economy is strong and inflation pressures are rising, but the outcome of NAFTA talks is key in determining the path for interest rates," ING economists argue.

About Stephen Poloz

"Stephen S. Poloz was appointed Governor of the Bank of Canada, effective 3 June 2013, for a term of seven years. As Governor, he is also Chairman of the Board of Directors of the Bank and a member of the Board of Directors of the Bank for International Settlements (BIS). He currently chairs both the BIS Audit Committee and the Consultative Council for the Americas," as published on bankofcanada.ca.