Making comments in a WSJ interview.
Bank of Canada Poloz gave an interview to the WSJ. Headlines are coming out across the newswires. The interview can be found here:
CLICK HERE for WSJ interview
He adds that:
- Banks are well positioned for any housing downturn
- Housing concern won't alter rate policy
- Using monetary policy to fix housing is too blunt a tool.
- Need to use macroprudential tool such as urging lenders to increase their information requirements for loans
- this contribution we can make to regularizing things is to ensure the economy stays on a good growth track
- The way the market performed in the wake of Brexit was very reassuring
- Low rates can fuel exchange rate variability
- The world economy is still in kind of a fragile place
- In normal times the world economy would be growing incredibly fast at such low interest rates.
- The fact that the global economy is not growing fast, suggest there's something pretty significant holding it back