Borrowing costs are coming down for some Canadians after the Bank of Canada on Wednesday delivered its first interest rate cut since March, lowering its overnight benchmark by 25 basis points from 2.75 per cent to 2.5 per cent.
Commercial lenders, like private banks, base their rates off of the key policy rate set by the central bank.
The Bank of Canada had previously held its overnight rate for the past three meetings, with Governor Tiff Macklem on multiple occasions referring to the “uncertainty” of the economic outlook requiring a more cautious approach to monetary policy — especially with the evolving trade war and tariff policies.
Macklem is scheduled to deliver remarks and answer questions at a press conference starting at 10:45 a.m. EST.
– More to come
