Bank of Canada Keeps Rates Unchanged Amidst Trade Uncertainty

The Canadian Dollar (CAD) strengthened against the US Dollar (USD) after the Bank of Canada left its policy rate unchanged at 2.25% in a widely expected move.

In a statement, the central bank noted that the conflict in the Middle East and ongoing US tariff threats continue to create uncertainty for the Canadian economy.

The BoC highlighted increased upside risks to inflation, but maintained its wait-and-see stance on monetary policy.