| On July 14, Canada’s central bank cut benchmark interest rates by 25bps for the second time this year, and slashed its growth forecast for 2015. The bank now expects GDP growth to be 1.1% Y/Y this year, down from its 1.9% forecast in April.
That could prove to be optimistic because first quarter growth slumped -0.6% Q/Q, and weak economic data in April sets up the distinct possibility of a technical recession. Why is that a problem? Over the last 50 years, Canada has not had two consecutive quarters of negative GDP growth without a recession in the US...............................................Full Article: Source
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