Firms’ responses may reflect sentiment shifts amid WTI crude near $100, with inflation expectations and investment plans in focus.
The Bank of Canada’s Q2 Business Outlook Survey will gauge how firms adjusted to recent energy price volatility, with West Texas Intermediate crude previously near $100 per barrel. Economists expect inflation expectations to remain anchored near the 2% target despite short-term pressures.
In Q1, measures of future sales, employment, and investment intentions showed improvement. The survey, largely conducted in May when oil prices averaged just under $100, will test whether sentiment held steady or softened as energy costs fluctuated.
Results will also be scrutinized for signs of broadening inflation pressures, though underlying trends suggest expectations remain stable. Trade data for May, including a projected 0.6% rise in exports, will accompany the release.