Reported 4 months ago
Canada's economy expanded by 1.7% in the first quarter, lower than the expected rate of 2.2%, leading traders to speculate on the Bank of Canada cutting rates soon. The weak inventory growth offset strong consumption gains, and the statistics agency also revised fourth-quarter growth downward. The possibility of a rate cut next week is now at about three-quarters, with most economists expecting a 25 basis point cut. Economists noted the need for a rate cut, but uncertainties remain about the central bank's decision and how the economy's momentum will influence it.
Source: YAHOO