The Bank of Canada left interest rates unchanged at 2.25% on Wednesday, as widely expected, for the sixth meeting in a row.
Source: Sharecast
The Bank said in a statement: "Canada’s economy is showing signs of improvement. Growth is picking up and inflation is projected to ease gradually from its recent spike. There are still important risks and uncertainties related to the war in the Middle East and US trade policy."
Following 0.7% GDP growth in 2026, the BoC expects the economy to grow by 1.8% in both 2027 and 2028. As the recovery proceeds, economic slack will be gradually absorbed, it said.
TD Securities said the BoC had "watered down its guidance by removing the reference to both the risk of rate cuts and consecutive hikes going forward".
Compare our accounts
If you're looking to grow your money over the longer term (5+ years), we have a range of investment choices to help.
Halifax is not responsible for the content and accuracy of the Markets News articles. We may not share the views of the author. Understand the risks, please remember the value of your investment can go down as well as up and you may not get back the full amount you invest. We don't provide advice so if you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified Financial Advisor. Past performance is not a guide to future performance.