Canadians are awaiting the first interest rate update of the year, and all eyes are on the Bank of Canada (BoC). The final major rate cut of 2024 cam…
Canadians are awaiting the first interest rate update of the year, and all eyes are on the Bank of Canada .its key interest rate from 3.75 per cent to 3.25 per cent.
Last year, Penelope Graham, a mortgage expert at Ratehub.ca, told us that 2025 was looking like "another wild economic ride." "Despite previous signals that the Bank will slow the cadence and size of rate cuts, tariff uncertainty, combined with the latest below-target inflation reading, should prompt another quarter-point rate cut in the upcoming January rate announcement," Graham said.
"The language used in the Bank's announcement may offer hints as to whether the Governing Council still believes the approach to rate cuts will be moderate, should tariff threats, and their resulting recessionary pressures, actually come to fruition," Graham shared.
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