Bank of Canada makes modest rate cut
Economists disagree over wisdom of decision at time of above-target inflation and soft labour markets
The Bank of Canada cut rates by 25 basis points today (October 29). The target for the overnight rate is now 2.25%, while the bank rate is 2.5% and the deposit rate is 2.2%.
“The role of monetary policy in the current situation is somewhat limited,” said governor Tiff Macklem, in a reference to US protectionism. One limitation of monetary policy, he said, was that it could not target the hardest-hit sectors and markets. However, he added that it could help the economy adjust to the structural
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: subscriptions.centralbanking.com/subscribe
You are currently unable to print this content. Please contact info@centralbanking.com to find out more.
You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (point 2.4), printing is limited to a single copy.
If you would like to purchase additional rights please email info@centralbanking.com test test test
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (clause 2.4), an Authorised User may only make one copy of the materials for their own personal use. You must also comply with the restrictions in clause 2.5.
If you would like to purchase additional rights please email info@centralbanking.com test test test
More on Monetary Policy
12 angry members: why dissent is growing on the FOMC
Hardening views on wisdom of further cuts mean committee’s next meeting is unlikely to be harmonious
NBFIs could dent transmission – Bundesbank board member
Growing non-bank activity could diminish banking channel’s importance, says Köhler-Geib
BoE’s Pill focused on ‘nominal momentum’ in UK economy
Chief economist says inflation dynamics seem to have changed, but there is a lot of noise in the data
Fed vice-chair says progress on inflation has stalled
Jefferson pushes for caution as US central bank lowers rates towards neutral
BoE paper highlights ‘cost-of-carry’ channel of monetary policy
High inventory levels can boost transmission, authors say
IMF sees room for further easing in Thailand
Country’s household debt challenges compounded by other shocks, mission head says
South Africa lowers inflation target from 4.5% to 3%
Sarb governor’s wish finally granted as finance minister announces change during budget review
Monetary Policy Benchmarks 2025 – model banks analysis
Data breakdowns shed light on policy risks, transparency and balance sheet tools