“If the economy evolves broadly in line with the projection we published today, I expect future discussions will be about how long we maintain the policy rate at 5%”

  • The Council is still concerned about risks to the outlook for inflation, particularly the persistence in underlying inflation.
  • Governing Council wants to see further and sustained easing in core inflation and continues to focus on the balance between demand and supply in the economy, inflation expectations, wage growth, and corporate pricing behaviour.
  • The Bank remains resolute in its commitment to restoring price stability.
  • Inflation is coming down as higher interest rates restrain demand in the economy.
  • Inflation is still too high, and underlying inflationary pressures persist – BoC needs to give these higher rates time to do their work.

https://www.zerohedge.com/markets/boc-keeps-rates-unchanged-5-expected-signals-end-rate-hikes