Canada Growth Remains Resilient Ahead of BoC October Decision, BMO Says

06:53 AM EDT, 09/30/2026 (MT Newswires) -- The Bank of Canada will have data to consider ahead of its Oct. 28 policy decision, including the latest consumer price index report and BoC Business Outlook Survey, according to BMO Capital Markets in a note. For now, however, growth remains resilient on the policy front, wrote BMO in Tuesday's note after Statistics Canada released gross domestic product data for July and preliminary GDP for August. GDP expanded 1.4% annually in July and is estimated at 1.8% annually in August, according to the initial flash estimate. Momentum has been firmer in recent months, with three- and six-month annualized growth rates above 2% in both July and August, assuming the flash estimate is confirmed, said the bank. Growth has remained resilient despite trade uncertainty, higher energy prices and a softer housing market, while subdued labor-force growth continues to limit potential output, added BMO.