Quebec Finance Minister Carlos Leitao maintained a goal of balancing the budget next year, and said deficits this year and last will be larger than planned as revenue misses forecasts and spending climbs.
Canada’s government bond returns are lagging behind the rest of the world this month for the first time since July as investors bet the nation’s central bank may increase interest rates sooner than analysts expected.
Credit markets indicate investors are becoming certain the Bank of Canada will raise interest rates at a second consecutive meeting after the country posted the largest quarterly gain in employment on record.
The company hired to find a replacement for departing Bank of Canada Governor Mark Carney is looking for a star external candidate, even as consensus builds around Senior Deputy Governor Tiff Macklem as the front-runner for the job.
Canada Housing Trust, the financing arm of the nation’s housing agency , had to offer a higher premium to sell mortgage bonds as investors were concerned about contagion from the European fiscal crisis.