Bank of Canada Set to Announce Third Consecutive Interest Rate Cut Today

The Bank of Canada will announce its interest rate decision this morning as forecasters expect it to deliver another quarter-point rate cut. Encouraged by slowing inflation, the central bank has lowered its policy rate at its last two meetings. Its key interest rate currently stands at 4.5 percent and governor Tiff Macklem has signalled the bank will continue to cut interest rates, so 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 percent in July. Last week, Statistics Canada data showed the Canadian economy grew at a 2.1 percent annualized pace in the second quarter, topping expectations from economists and the central bank....