Poloz speech: Heightened uncertainty about future trade policies is hitting business investment

Governor Stephen S. Poloz and Senior Deputy Governor Carolyn A. Wilkins are now delivering their remarks on the monetary policy outlook following the Bank of Canada's decision to leave the policy unchanged at 1.75%. Below are some key takeaways, per Reuters.

"Worsening global situation was primary issue for the bank when mulling interest rate announcement."

"Heightened uncertainty about future trade policies is hitting business investment, could spread to household spending."

"Tariffs and trade restrictions will work over time to permanently reduce potential output everywhere while raising the prices of consumer goods - a stagflationary scenario."

"Monetary policy can only do so much about these elements of the shock."