A Sobering Statement from the Bank of Canada

Tuesday morning's statement by the Bank of Canada indicated that the Canadian economy was clearly recovering, but painted the troubling spectre of the surging Loonie raining on the parade. Most major bank economists agree that the record low rates will continue, but the powerful dollar appears a looming economic risk. The traditional solution to a surging currency is cutting interest rates...tough to do at a quarter of one percent! It will be interesting to see how the BOC responds to this unique challenge.