September 4, 2014
The Bank of Canada once again opted to leave its target for the overnight rate unchanged at 1 per cent..
The Bank noted that though inflation is close to its 2 per cent target, the recent pick-up in inflation was largely due to temporary factors as the Bank anticipated.
In spite of stronger global and domestic economic growth last quarter, the Bank still expects excess capacity in the economy to be absorbed over the next 2 years and judges risks to its outlook to be balanced between higher inflation and still elevated household debt.
Therefore, the Bank remains neutral with respect to timing and direction of its next change to the policy rate.
Good news for Vancouver real estate buyers - take advantage of record low interest rates - 5 year term at 2.99%