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Institution: Canada’s Q2 economy is expected to shrink, and the Central Bank will cut interest rates next month.
Jin10 data reported on June 27, Canadian economist Royce Mendes from Desjardins stated that the Canadian economy will experience contraction in the second quarter, with consecutive declines in April and May. He pointed out that before the pandemic, the last time economic activity showed a consecutive monthly decline was in 2017. Desjardins' tracking of second-quarter GDP now more clearly indicates a slight contraction, and the agency continues to expect the Central Bank of Canada to cut interest rates next month.