BoC Holds Rates Steady Amid Ongoing Trade Uncertainty

The Bank of Canada is expected to keep interest rates steady at 2.25% on its upcoming decision, according to ING's Francesco Pesole.

Pesole sees a very low risk of a surprise rate hike despite the recent improvement in headline Consumer Price Index (CPI) and solid economic growth.

The main concern for Canada is the ongoing trade tensions with the US, which pose significant risks for the country's economy.

Pesole believes that Governor Tiff Macklem will stress that monetary policy isn't a corrective tool for trade policies during today's meeting.