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RBC expects Bank of Canada to cut rates in October
The Royal Bank of Canada (RBC) has projected that the Bank of Canada (BoC) will deliver another 25 basis point rate cut in October, following its September move to restart the easing cycle. The central bank’s decision to resume cuts after a six-month pause was driven by softening in the labour market, sluggish gross domestic product growth, and a slowdown in core inflation, according to Claire Fan, senior economist at RBC. Fan said the BoC’s September cut was also motivated by clear signs of cooling in the Canadian economy, pointing to rising unemployment and a deceleration in population growth as key factors. ... (full story)
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