House price inflation has picked up in recent months; if this continues it has positive implications for consumer spending via the wealth effect it provides to homeowners.

I don't think there's an inflation problem out there. We're very positive on equities.

You have to be positive on 10-year bonds when you expect lower inflation. I don't expect the Bank of Canada to raise rates at its next meeting because inflation is low and going lower.

A low inflation number is positive for bonds. It is possible that most of the tightening could be done.

Following the accident, there's downside risks to exports in January, so the trade deficit may be wider than we expect.

Rising business investment may have boosted demand for imported goods and stalled a further improvement in the trade deficit in January. We still are upbeat on exports, with commodity prices rising and strong global demand.