Canada's Monetary Policy Pauses as Inflation Pressures Contained

Canada's monetary policy has paused as the Bank of Canada maintains its policy rate at 2.25% on June 10, according to a recent report.

The decision is intended to balance competing forces within the economy, including a weaker growth environment and persistent excess supply.

Headline inflation rose to 3.2% in May due to energy prices, but underlying core measures remain contained in their trend at around 2.3%, according to Ashish Dewan CFA, Senior Investment Strategist at Vanguard Investments Canada.