Despite the decline in inflation and the rise in the unemployment rate, the time has not yet come to let our guard down, according to the Bank of Canada, which is maintaining its key rate at 5%.
The central bank is opening the door to an upcoming rate cut, but timidly. “Although inflation remains too high and risks remain, CPI inflation and core inflation have fallen further in recent months,” his message said. The Council will be watching for signs that this downward movement is sustainable,” Governor Tiff Macklem said in his message,
Most observers expected the key rate to be maintained at its current level and forecast a first cut in June or July.
More details to come.