North American Outlook: Turning Point?
A still-strong U.S. economy will be tested by past rate hikes and other headwinds that risk a harder landing, and could drag a struggling Canadian economy down with it.
Sturdy U.S. growth and stubborn services inflation risk further policy rate hikes. While we lean toward inaction, policymakers are unlikely to reverse gears until the second half of 2024.
Sal Guatieri
Director and Senior Economist
