Bank of Canada to announce interest rate decision today, rate hike anticipated

OTTAWA –

The Bank of Canada is about to announce its newest rate of interest resolution this morning together with new financial projections.

Forecasters are extensively anticipating a rise of 1 quarter of a share level, which might convey the central financial institution’s key fee to five per cent.

The central financial institution raised rates of interest final month, ending an earlier pause on fee hikes.

It cited concern over a string of sizzling financial knowledge, which steered to its governing council that rates of interest weren’t excessive sufficient to chill the economic system and convey inflation down.

Economists say one other fee hike is probably going at present, given the labour market remains to be tight and inflation pressures are nonetheless excessive.

Canada’s annual inflation fee fell to three.4 per cent in May, however less-volatile measures recommend costs are nonetheless rising quickly.

This report by The Canadian Press was first revealed July 12, 2023.