UPDATE 3-Upbeat Bank of Canada says economy at tipping point

Wed Sep 18, 2013 2:17pm EDT
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* BoC chief Poloz says economy at "tipping point"

* Business investment seen boosting growth potential

* Despite confident tone, next rate move seen far off

* Poloz sees no housing bubble, says household debt to fall

By Nicole Mordant

VANCOUVER, Sept 18 (Reuters) - Bank of Canada Governor Stephen Poloz took a notably upbeat tone on Wednesday, predicting the Canadian economy is about to enter a new phase of growth powered by business investment and exports as the U.S. recovery takes hold.

"Evidence suggests we are now close to the tipping point from improving confidence into expanding capacity," he said in a speech to the Vancouver Board of Trade.

Speaking just before the U.S. Federal Reserve had been expected to announce a modest reduction in its bond-purchasing program, Poloz said there was evidence "we are on our way home" to economic growth that is self-sustaining rather than relying on low interest rates.   Continued...