News Summary

• The Bank of Canada cut its benchmark interest rate by 25 basis points on Wednesday to 2.5 per cent.
• It was the first move since March and one widely expected as the economy shows more signs of strain.
• Policymakers pointed to a weakening labour market, fading inflation momentum and the removal of retaliatory tariffs in explaining the decision.
• But they offered little sense of what comes next, with Governor Tiff Macklem acknowledging the Bank is “being less forward-looking than usual”