Economy and Markets

The outlook for the global economy improved significantly as vaccination campaigns ramped up. RBC Economics expects real GDP to increase by 5½% in 2021.

Government bonds were sold off sharply in February. The moves largely reflect improving economic outlook and inflation upside.

Lockdowns are making for a slow start to 2021 and vaccines will support a return to growth in Q2 and beyond.

Ongoing containment measures will slow Canada's recovery, while more measured restrictions and fiscal stimulus should keep the US economy growing.

2021 promises to be a better year with the discovery of a vaccine against COVID-19 set to restore both our health and the economy.

Positive vaccine developments are brightening economic growth prospects in 2021. The near-term outlook is still challenging, but we're now expecting a stronger recovery.

Until a vaccine is widely available, governments face a tough balancing act between containing the virus's spread and keeping the economy open.

With a rise in cases across several countries, new restrictions are threatening economic recovery momentum.

Early economic recoveries have been stronger than expected and slower momentum later this year will leave output gaps wide.

RBC Economics says global economies will continue to grow at a more moderate pace but are less likely to return to pre-COVID levels in 2020.

The debt cliff looks more like a slope; however, concerns about household debt remain, especially in the oil provinces and among Millennials.

Indicators suggest a stronger than expected near-term economic rebound but less fiscal support and ongoing social distancing will cap the recovery.