Bank of Canada maintains overnight rate
As many expected, there were no big surprises in this morning’s Bank of Canada announcement, where maintenance was the name of the game. There are also no changes anticipated for the remainder for 2010, and at least the early part of 2011.
Even though Canada's recovery is proceeding at a moderate pace, although the economic activity in the second half of 2010 appears slightly weaker than the bank projected in its October Monetary Policy Report. The same cannot be said for the sluggish US and European economies, as well as the emerging financial crisis in Ireland. Banks prime rate holds at 3%