The Bank of Canada is holding its key rate in Stephen Poloz’s first policy decision since he replaced Mark Carney as Bank Governor. The benchmark rate has not changed since September 2010.
Today’s announcement noted that there will be a continuation of steady rates “as long as there is significant slack in the Canadian economy, the inflation outlook remains muted, and imbalances in the household sector continue to evolve constructively.”
The prime rate for most lenders should stay at 3%, great news for variable rate holders. The Bank's next rate decision is scheduled for September 4.