Canada’s business sentiment remains moderate

Canada’s business sentiment remains moderate on the background of low commodity prices, according to data released by the BOC on Monday.

A quarterly survey of the bank shows that investments in energy sector are decreasing, besides care approach of companies to investment plans. Members of services sector have more optimistic outlooks.

The BOC stated the main problems in the report which restrain a development of investment plans: weak domestic demand, uncertainty over economic outlooks in the nearest future, weak export demand.

Companies hope for some growth of activity concerning sales in the nearest year. Business sector in the central Canada notes that it does not see any signals about recovery of oil prices. However, members of business sector in other regions which depend on resources have positive outlooks in domestic market.

The BOC has made the survey even before the UK referendum so that the results do not reflect a full situation. According to the survey, 43% of respondents expect the sales to accelerate in 2017.