The Bank of Canada cut its key lending rate, which sets interest rates, five times in 2024, from 5% in May to 3.25% in December. Despite the big drop in interest rates, policymakers had forecast that the central bank could be even more aggressive with its interest rate cuts in 2025. That now seems in […]
Tag Archives: Bank of Canada
26
Nov
Nov
Canada’s inflation rate unexpectedly jumped to 2.0% in October from 1.6% in September. Analysts were expecting Canada’s inflation rate to climb in October to 1.9%. Every month, Canadian inflation inched up 0.4%, versus expectations for a 0.3% gain. It was also the first time since May that Canadian inflation increased. Statistics Canada said the higher-than-expected […]
05
Nov
Nov
How Is the Canadian Economy Doing? The Canadian economy continues to underwhelm as years of high inflation and high interest rates hurt Canadian consumers and businesses. According to preliminary data from Statistics Canada, the country’s gross domestic product (GDP) grew at an annualized rate of just 1% in August; unchanged from July. Preliminary data also […]
29
Oct
Oct
The Bank of Canada made the widely expected move to lower its key interest rate by 50 basis points from 4.25% to 3.75%. This comes after three 25-basis-point cuts each in June, July, and September and is the first time that interest rates have been below 4% in two years. With Canadian inflation now down […]
22
Oct
Oct
The odds of the Bank of Canada making an oversized, 50-basis-point interest rate cut when it meets next on October 23 are up after the country’s inflation rate fell to 1.6% in September. That represents the lowest inflation rate in three and a half years. September’s inflationary reading of 1.6% was also down from 2.0% […]
10
Sep
Sep
The Bank of Canada cut its overnight lending rate, which impacts interest rates charged for mortgages and other loans, for the third time, bringing interest rates down to 4.25%. The 25-basis-point cut was widely expected by Bay Street and follows similar cuts in June and July. The September 5 interest rate cut represents the third […]
30
Jul
Jul
In late July, the Bank of Canada announced that it was cutting its key policy interest rate for a second straight time and hinted that more cuts were coming should inflation continue to edge lower. The central bank reduced its overnight lending rate target by 25 basis points to 4.50%, taking it down to levels […]
09
Jul
Jul
In early June, the Bank of Canada cut interest rates for the first time since March 2020. The central bank cut its key overnight lending rate by 25 basis points to 4.75%. The big question is when the next interest rate cut will come. Will the Bank of Canada Cut Rates Again in July? At […]
25
Jun
Jun
After a year in which the Canadian economy experienced virtually no growth, the economy performed better than expected in the first quarter of 2024, with real gross domestic product (GDP) advancing 1.7% on an annual basis. That’s slower than the median forecast of 2.2% and below the Bank of Canada’s forecast of 2.8%, but it’s […]
18
Jun
Jun
The U.S. Federal Reserve said on June 12 that it was holding its key interest rate unchanged at approximately 5.5%, a level it has held since July 2023. The Fed has raised interest rates 11 times since March 2020 to fight inflation. Inflation has fallen from a high of 9% in June 2022 to 3.4% […]
