The Bank of Canada will lower its benchmark interest rate tomorrow by a quarter of a percentage point to 4.25 percent, according to the consensus of economists. The rate of inflation is approaching the central bank’s target of 2.0 percent, while unemployment is on the rise and consumer spending is slowing.
“Clearly their rates should be lower than where they are now, and the bank’s moving slowly and surely in that direction,” the Bank of Montreal’s Benjamin Reitzes told The Globe and Mail.
