The Bank of Canada announced its interest rate decision this morning, and as forecasters expected the BOC delivered another quarter-point rate cut. Encouraged by slowing inflation, the central bank has lowered its policy rate at its last three meetings.
Its key interest rate now stands at 4.25 per cent and Governor Tiff Macklem has signalled the bank will continue to cut interest rates, as long as inflation continues to ease.
High interest rates have helped reduce price pressures this year, bringing Canada’s inflation rate down to 2.5 per cent in July.
Macklem is expected to speak on this later this morning.
