CIBC Research discusses its reaction to today's Canadian GDP print for the month of February.
"There apparently wasn’t much love for the Canadian economy in February, with GDP posting a surprising decline as adverse weather held back output. While the year started on a solid note, with a monster January GDP print, after taking into account revisions to prior months, Q1 GDP is now tracking only 0.7%," CIBC notes.
"But, the Bank of Canada already has an even weaker growth forecast penciled in for the quarter. So, combined with the fact that some of the miss in February appears to be the result of transitory factors, markets shouldn’t alter expectations for the central bank very much," CIBC adds.