ACTIVE
SOLD
RSS

Bank of Canada holds key rate at 0.75% despite questions about US weakness


Ottawa - The Bank of Canada is keeping its trendsetting interest rate locked at 0.75 per cent, even as recent weakness in the United States raises questions about the Canadian economy's underlying strength.

The central bank says it's standing pat because inflation has been in line with projections and consumption has held up relatively well - even amid the net negative effects of lower oil prices.

The bank, however, plans to keep an eye on the potential economic implications for Canada if the loonie stays higher than it has been in recent months.

The central bank also says while risks to the country's financial stability remain elevated, they seem to be unfolding as anticipated.

Last week, Bank of Canada governor Stephen Poloz called the weaker-than-expected US economy "slightly puzzling," but expressed optimism it would start accelerating in the second half of 2015.

While Poloz has been counting on a strengthening American economy to provide a major boost for Canada - so far this year the US has stopped short of expectations.

 

The next scheduled date for announcing the overnight rate target is July 15, 2015. If you would like to read the article Bank of Canada maintains overnight rate target at 3/4 per cent, please visit www.BankofCanada.ca.


Source: Bank of Canada.ca

Read
The data relating to real estate on this website comes in part from the MLS® Reciprocity program of either the Real Estate Board of Greater Vancouver (REBGV), the Fraser Valley Real Estate Board (FVREB) or the Chilliwack and District Real Estate Board (CADREB). Real estate listings held by participating real estate firms are marked with the MLS® logo and detailed information about the listing includes the name of the listing agent. This representation is based in whole or part on data generated by either the REBGV, the FVREB or the CADREB which assumes no responsibility for its accuracy. The materials contained on this page may not be reproduced without the express written consent of either the REBGV, the FVREB or the CADREB.