Investing.com - The Bank of Canada left its benchmark interest rate unchanged in December in a widely expected decision and dampened expectations for a rate hike in the coming months, it announced on Wednesday.
In its fourth meeting under the helm of new Governor Stephen Poloz, the BoC said it was leaving its overnight cash rate unchanged at 1%, in line with expectations.
The central bank repeated that monetary stimulus remains appropriate but said downside risks to inflation seem greater than before.
The BoC said in an accompanying rate statement that it judged “that the substantial monetary policy stimulus currently in place remains appropriate.”
Following the release of the data, the Canadian dollar held on to losses against its U.S. counterpart, with USD/CAD adding 0.27% to trade at 1.0677.
In its fourth meeting under the helm of new Governor Stephen Poloz, the BoC said it was leaving its overnight cash rate unchanged at 1%, in line with expectations.
The central bank repeated that monetary stimulus remains appropriate but said downside risks to inflation seem greater than before.
The BoC said in an accompanying rate statement that it judged “that the substantial monetary policy stimulus currently in place remains appropriate.”
Following the release of the data, the Canadian dollar held on to losses against its U.S. counterpart, with USD/CAD adding 0.27% to trade at 1.0677.