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7/4, 4:45 PM (Source: TeleTrader)
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Bank of Canada: Prices expected to remain high

The Bank of Canada (BoC) stated on Monday in its Business Outlook Survey for the second quarter of 2022 that the participants in the study expect prices to remain high and production capacities to face pressure throughout the year, mostly due to Russia's ongoing military operation in Ukraine.

Many enterprises reported "labor-related constraints and supply chain bottlenecks," which remain at record-high due to an expected strong sales growth and demand. They also predicted "significant wage and price increases."

"Still, most see inflation returning to 2% over time. They noted various factors needed for inflation to return to target, including higher interest rates, improved supply chains, lower oil prices and a resolution of the war in Ukraine," the document said.

Baha Breaking News (BBN) / JR