Canada's Monetary Policy Hits Pause Button Amid Economic Uncertainty

The Bank of Canada has paused its monetary policy, keeping interest rates at 2.25% as it navigates a complex macroeconomic environment.

Policymakers believe that this stance is appropriately calibrated to balance competing forces within the economy, including weak growth and persistent excess supply, alongside inflation dynamics.

The Bank's preferred core measures of inflation remain contained at around 2.3%, with underlying core measures close to target.