Insights

In planning your retirement, be sure to count these health care costs.

This week I discuss the implication of the Bank of Canada's 0.50% rate cut and the resilience of the U.S. economy. Additionally, making the case for mid-cap and emerging markets equities, when should you add exposure and why. Read to learn more.

The Bank of Canada lowered its benchmark interest rate by half a percentage point in October, to 3.75%.

The level of the overnight rate is still restrictive at 3.75% and the BoC in the press release hinted at future rate cuts will follow to support a return to stronger GDP growth.

Central banks’ inflation targets are in sight, but not all price trends have normalized. Inflation isn’t the headache it was, but investors should keep it in mind in their asset allocation decisions.

Canada's economy continues to be on soft footing, while the U.S. continues to show signs of resilience as inflation declines on an annual basis. Meanwhile, economy activity in Europe is mixed, while since point to more stimulus in China.

The influx is continuing to build inventory—which is still hovering near the equivalent of four months of supply.