BREAKING: Bank of Canada keeps rates unchanged, lowers bond purchases

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The Bank of Canada left its benchmark interest rate unchanged at the effective lower bound of 0.25 %, as widely expected. Central bankers decided to scale back government bond purchases by $1billion per week to a rate of $3billion per week. Central bank expects GDP growth at 6.5% compared to January estimates of 4.0%. Inflation is expected to rise temporarily to around the top of the 1-3 percent inflation-control range.

USDCAD fell sharply after today's BoC interest rate decision and is heading towards support lat 1.2526. Source:xStation5

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