BoC's Poloz: Although we're both in clear expansion phase, we're behind U.S. in that cycle

Bank of Canada (BOC) Governor Stephen Poloz and Senior Deputy Governor Carolyn A. Wilkins are responding to questions from the press with key quotes, via Reuters, found below.

Poloz: Although we're both in clear expansion phase, we're behind u.s. in that cycle.

Poloz: Need to take Fed's moves into account into our forecast, but not the same as following them.

Poloz: "We don't know" whether end of NAFTA would mean end of tighter rates.

Poloz: We can't assume end of NAFTA would be small shock.

Poloz: If NAFTA gets cleared up there would be a boost to investment, based on what companies are telling us.

Key notes

Bank of Canada increases overnight rate target to 1.25% from 1%.

While the economic outlook is expected to warrant higher interest rates over time, some continued monetary policy accommodation will likely be needed to keep the economy operating close to potential and inflation on target.

Bank of Canada hikes again, but NAFTA worries persist - ING.

"The Canadian economy is strong and inflation pressures are rising, but the outcome of NAFTA talks is key in determining the path for interest rates," ING economists argue.

About Stephen Poloz

"Stephen S. Poloz was appointed Governor of the Bank of Canada, effective 3 June 2013, for a term of seven years. As Governor, he is also Chairman of the Board of Directors of the Bank and a member of the Board of Directors of the Bank for International Settlements (BIS). He currently chairs both the BIS Audit Committee and the Consultative Council for the Americas," as published on bankofcanada.ca.