Canadian business sentiment is soaring as bosses around the country prepare for a pickup in economic activity, sales and employment amid better credit conditions, according to two new Bank of Canada surveys.
The results of the central bank`s summer business outlook survey are a change in mood from the winter and spring reports, with 61 per cent of businesses expecting sales to rise in the coming 12 months -- the highest reading since records began in 1998.
The expected rise is a welcomed change for recession-weary companies, but it is important to note any increases will be off the back of a record drop in sales, and therefore the outlook does not indicate a return to full health.
"[Sales] had nowhere to go but up," said Douglas Porter, deputy chief economist at BMO Capital Markets.
The survey showed a record 69 per cent of businesses recorded a drop in sales in the 12 months before the survey, which was taken between May 25 and June 18.
Read the full article here.
The results of the central bank`s summer business outlook survey are a change in mood from the winter and spring reports, with 61 per cent of businesses expecting sales to rise in the coming 12 months -- the highest reading since records began in 1998.
The expected rise is a welcomed change for recession-weary companies, but it is important to note any increases will be off the back of a record drop in sales, and therefore the outlook does not indicate a return to full health.
"[Sales] had nowhere to go but up," said Douglas Porter, deputy chief economist at BMO Capital Markets.
The survey showed a record 69 per cent of businesses recorded a drop in sales in the 12 months before the survey, which was taken between May 25 and June 18.
Read the full article here.