# Rate hikes still on the table: How markets and economists are reacting to Canada’s surprisingly weak GDP - The Globe and Mail

> Canada's economy recorded no growth in the fourth quarter of 2022, well below the 1.5% forecast by analysts and the Bank of Canada's 1.3% projection. Monthly GDP contracted 0.1% in December, and the Canadian dollar weakened by more than a quarter cent after the release.

- Date: 2023-02-28 · published 2023-02-28T12:00:00.000Z
- Category: macro · region Canada · magnitude low
- Page: https://feedsoft.ai/events/37579-rate-hikes-still-on-the-table-how-markets-and-economists-are-reacting-to-canada
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md)

## Why it matters

Weak growth reduces Canadian domestic demand and may ease Bank of Canada tightening, which pressures the loonie. Currency moves of this size have little direct effect on feed commodity prices.

## Read by commodity

- USDCAD: bullish ▲

## Sources

- theglobeandmail.com: https://www.theglobeandmail.com/investing/markets/inside-the-market/article-instant-reaction-what-the-street-is-saying-after-canadas-surprisingly/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.