Bank of Canada Holds Rates as Tariffs Cloud Growth Outlook

The Bank of Canada maintained its interest rates at 2.25% for the seventh time in a row amid escalating tensions in the trade war with the United States, which is casting a shadow over economic growth and potentially introducing new inflationary risks. This decision underscores the central bank's cautious approach to navigating the uncertain economic landscape shaped by international trade disputes. While the stability in rates provides some assurance to businesses and consumers, the ongoing tariff conflicts signal a more precarious economic outlook.