OTTAWA -- A new Bank of Canada survey suggests while companies are anticipating modestly better days ahead for exports, they're also bracing for slower U.S. growth due to uncertainty about the outcome of the presidential election.
The central bank's latest business outlook survey shows Canada's biggest trading partner is still seen by firms as the main driver of positive expectations for exports.
But the poll also finds Canadian companies are expecting U.S. growth to be slower overall -- a view often linked to a presidential campaign that has helped stir up protectionist sentiment.
Overall, the survey says firms' sales growth expectations for the next 12 months have improved modestly from a weak level in the July edition of the quarterly poll.
The study says the anticipated improvement is largely due to the fact companies believe declines in the resources sector may be bottoming out after two painful years of low commodity prices.
The report also found hiring expectations of firms increased from relatively low levels in past surveys -- with close to half of the roughly 100 companies polled saying they intended to add jobs over the coming year.
The bank says investment intentions for machinery and equipment increased in the autumn survey, but that the scale of spending intentions seems limited overall.
