The Bank of Canada has released their winter Business Outlook Survey. In general, the report stated that business sentiment remained positive and that the sales outlook is still healthy, despite some moderation. At the same time, capacity and labour pressures are becoming more apparent and are stimulating firms’ employment and investment plans.

The Bank of Canada website explains that "the Bank of Canada's Business Outlook Survey summarizes interviews conducted by the Bank’s regional offices with the senior management of about 100 firms selected in accordance with the composition of the gross domestic product of Canada’s business sector. This survey was conducted from November 14 to December 8, 2017".

In their overview, the Bank of Canada reported on the following survey results:

• "Expectations for sales activity remain positive but point to some moderation ahead. Following broad-based strength in past sales, many firms expect stable sales growth or a return to a more sustainable pace, particularly in the goods sector and in demand from domestic customers.
• Firms plan to expand operations to accommodate sustained demand, which is evident in a rebound of investment and employment intentions since the autumn survey.
• Reflecting strong demand and tightening labour markets, indicators of capacity pressures and labour shortages picked up.
• Survey results suggest that economic slack is now largely limited to the energy-producing regions.
• Firms expect growth of input prices to rise, owing to gains in commodity prices. Pass-through of input costs and emerging wage pressures to output prices remains limited due to competitive forces. Inflation expectations are modest and unchanged from the third quarter.
• Apart from higher prime rates, credit conditions are largely unchanged.
• The Business Outlook Survey indicator rebounded almost to its summer peak, consistent with widespread positive sentiment."

For the full survey or for more informations, see the Bank of Canada's website.