Indeed, through most of the past decade, we have managed to keep inflation around the 2 per cent target midpoint. And so, Canadians' expectations for inflation have become firmly anchored around 2 per cent.
In today’s updated projections, we are forecasting both exports and business investment to contract in the second half of this year and to recover only moderately in the next two years. We can see a wide range of indicators pointing to these effects—in manufacturing, mining and rail transportation—in our Business Outlook Survey and in the quarterly reports of bellwether global companies.