Q3 2023 Market and Economic Update

The Quarter in Review

  • Q3 saw inflation reports come in slightly above expectations.
  • Interest rates rose in response, leading to negative bond returns as bond prices fell.
  • Equity markets sold off modestly in the quarter, partly in response to persistent inflation and higher interest rates.
  • Economic growth in Canada remains modestly positive, although we may not yet be feeling the full impact of higher interest rates.
  • Markets appear to be weighing positive news, such as continued economic growth, against potential negatives, such as stubborn inflation and interest rates. As a result, both stock and bond returns could fluctuate further in the coming months in response to economic data.

Read more in our Q3 2023 Market and Economic Update