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Bank of Canada Holds Rates Steady As Economic Uncertainty Worsens

  • The Bank of Canada has decided to keep its overnight interest rate unchanged at 2.75% as it evaluates the impact of U.S. import tariffs on the Canadian economy.
  • The decision to maintain the current interest rates is influenced by the uncertainty caused by U.S. trade policies and the upcoming national elections in Canada.
  • A decrease in Canada's inflation rate and the disruptive nature of the U.S. tariff campaign were also factors contributing to the decision.
  • The central bank will closely monitor the effect of tariffs on Canadian exports before making future decisions on interest rates.

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