{"id":48502,"date":"2024-06-24T10:00:59","date_gmt":"2024-06-24T10:00:59","guid":{"rendered":"https:\/\/www.pantheregroup.com\/2024\/06\/24\/next-bank-of-canada-rate-cut-could-hinge-on-may-inflation-data\/"},"modified":"2024-06-24T10:00:59","modified_gmt":"2024-06-24T10:00:59","slug":"next-bank-of-canada-rate-cut-could-hinge-on-may-inflation-data","status":"publish","type":"post","link":"https:\/\/www.pantheregroup.com\/2024\/06\/24\/next-bank-of-canada-rate-cut-could-hinge-on-may-inflation-data\/","title":{"rendered":"Next Bank of Canada rate cut could hinge on May inflation data"},"content":{"rendered":"<div style=\"text-align:center\"><\/div><p> \n<\/p>\n<div id=\"\">\n<header aria-label=\"Beginning of Article\" class=\"article-header article-header--story\">\n<nav aria-label=\"Breadcrumb\" class=\"breadcrumbs\" data-aqa=\"nav-breadcrumb\">\n<p>Breadcrumb Trail Links<\/p>\n<ol class=\"breadcrumbs__items list-unstyled\">\n<li class=\"breadcrumbs__item\">News<\/li>\n<li class=\"breadcrumbs__item\">Economy<\/li>\n<\/ol>\n<\/nav>\n<div class=\"article-header__detail\">\n<div class=\"article-header__detail__texts\">\n<p class=\"article-subtitle\">Economists are predicting a slight decrease in Tuesday&#8217;s inflation numbers, giving the central bank further room to cut its policy rate<\/p>\n<div class=\"article-meta\">\n<p><span class=\"published-date__since\">Published Jun 24, 2024<\/span> \u00a0\u2022\u00a0 <span class=\"updated-date__since\">Last updated 13\u00a0minutes ago<\/span> \u00a0\u2022\u00a0 <span class=\"published-date__word-count\">3 minute read<\/span><\/p>\n<div class=\"article-meta__bottom\">\n<div class=\"bookmark-wrapper\">\n<div class=\"popover\" data-aqa=\"popover\" data-click-to-appear=\"True\" data-container=\"\" data-container-offset=\"\" data-no-style=\"\" data-popover-component=\"\" data-position=\"top\" data-sticky=\"\" data-tail-offset=\"200\" data-tail-position=\"right\"><button class=\"popover__trigger bookmark-button\"><span class=\"save-article-button save-article-button--default\" title=\"Save article\" data-article-id=\"68f1579b-817d-4f76-87b3-0912ad0040fb\" data-evt-skip-click=\"true\"\/><\/button><\/p>\n<div aria-describedby=\"popover-desc-popover-bookmark\" class=\"popover__content\" hidden=\"\" role=\"dialog\">\n<div class=\"popover__content__wrapper\">\n<div class=\"popover__content__text\" id=\"popover-desc-popover-bookmark\">\n<div class=\"bookmark__popover__content\">\n<p>You can save this article by registering for free here. Or sign-in if you have an account.<\/p>\n<\/div>\n<\/div>\n<p><button class=\"popover__content__close\" data-evt-skip-click=\"true\" title=\"Close\"><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:xlink=\"http:\/\/www.w3.org\/1999\/xlink\" viewbox=\"0 0 12 12\" class=\"icon--close\" height=\"12\" version=\"1.1\" width=\"12\"><polygon points=\"12 0.95 11.05 0 6 5.05 0.95 0 0 0.95 5.05 6 0 11.05 0.95 12 6 6.95 11.05 12 12 11.05 6.95 6\"\/><\/svg><\/button><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<figure class=\"featured-image\" data-aqa=\"featured-image\"><picture class=\"featured-image__ratio\"><\/source><\/source><\/source><\/source><\/picture><figcaption class=\"featured-image__caption image-caption\"><span class=\"caption\">A shopper walks through a produce aisle at a grocery store in Toronto.<\/span> <span class=\"credit\">Photo by Cole Burston\/Bloomberg files<\/span><\/figcaption><\/figure>\n<\/div>\n<\/header>\n<section class=\"article-content__content-group article-content__content-group--story\">\n<h2 class=\"visually-hidden\">Article content<\/h2>\n<p data-async=\"\">Statistics Canada will release May inflation data on Tuesday and if the numbers show price growth continued to cool, as many economists expect, it could ease the path to a second interest rate cut by the Bank of Canada.<\/p>\n<p data-async=\"\">In April, the consumer price index (CPI) rose 2.7 per cent year over year, down from a 2.9 per cent gain in March. The slowdown in inflation was due to a deceleration in prices for grocery items and household goods.<\/p>\n<\/section>\n<div class=\"ad__section-border article-content__ad-group ad_counter_2\">\n<section aria-describedby=\"advertisment4493299545726496337646252759973888\" class=\"ad\">\n<p>Advertisement 2<\/p>\n<div class=\"ad__container\">\n<div class=\"ad__inner\" id=\"ad__inner-2\">\n<div class=\"ad__inner__container\" data-ad=\"[[6,6],[1200,250],[1200,90],[970,90],[970,250],[728,90],[300,250]]\" data-ad-interscroller=\"6x6\" data-ad-loc=\"2\" data-ad-mobile=\"[[6,6],[320,50],[300,50],[300,250],[300,600]]\" data-aqa=\"advertisement\" id=\"ad-2\" style=\"--desktopHeight:250px;--mobileHeight:600px\">\n<div aria-hidden=\"true\" class=\"ad__placeholder\">\n<p>This advertisement has not loaded yet, but your article continues below.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/section>\n<\/div>\n<div class=\"article-block article-block-bg article-content__sign-in-group hidden\" 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Barbara Shecter, Joe O&#8217;Connor, Gabriel Friedman, Victoria Wells and others.<\/li>\n<li>Daily content from Financial Times, the world&#8217;s leading global business publication.<\/li>\n<li>Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.<\/li>\n<li>National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.<\/li>\n<li>Daily puzzles, including the New York Times Crossword.<\/li>\n<\/ul>\n<\/div>\n<div class=\"intro-body__anonymous\">\n<p>REGISTER \/ SIGN IN TO UNLOCK MORE ARTICLES<\/p>\n<p class=\"identity-intro__description\">Create an account or sign in to continue with your reading experience.<\/p>\n<ul class=\"list-unstyled list-checkmark\">\n<li>Access articles from across Canada with one account.<\/li>\n<li>Share your thoughts and join the conversation in the comments.<\/li>\n<li>Enjoy additional articles per month.<\/li>\n<li>Get email updates from your favourite authors.<\/li>\n<\/ul>\n<\/div>\n<\/div>\n<\/header>\n<div class=\"identity-screen m-x-0 p-x-0 col-xs-12 col-md-6 flex-justify-center flex-align-center\" aria-live=\"assertive\">\n<section class=\"sail\" data-account-id=\"b9d3df2fccd108b5eff3c44f573b2cd6\" data-sailthru-personalization-engine=\"\" data-sailthru-personalization-engine-component=\"\"\/>\n<div class=\"m-x-0 p-x-0 col-xs-12 col-sm-6 col-md-12 flex-align-justify-center\" data-auth-component=\"\" id=\"auth-screen-form\">\n<div class=\"identity-screen-form--active w-full flex-align-justify-center\">\n<div class=\"identity-screen-form identity-screen__content w-full\">\n<h2 class=\"blocker-title\">Sign In or Create an Account<\/h2>\n<p><span class=\"identity-divider__line\"\/><span class=\"identity-divider__text\">or<\/span><span class=\"identity-divider__line\"\/><\/p>\n<\/div>\n<\/div>\n<\/div>\n<footer class=\"identity-footer identity-screen__content m-x-0 p-x-0 col-sm-6 col-md-12\"\/><\/div>\n<\/section>\n<\/div>\n<section class=\"article-content__content-group article-content__content-group--story\">\n<p>Article content<\/p>\n<p>Randall Bartlett, senior director of Canadian economics at Desjardins Group, expects Tuesday\u2019s data will show annual inflation ticked down once again to 2.6 per cent in May, putting it on track for a return to two per cent by year-end.<\/p>\n<p data-async=\"\">\u201cLooking at our inflation outlook, we\u2019re expecting inflation to continue on the path that we\u2019ve seen,\u201d he said. \u201cUnderlying demand in the Canadian economy is pretty weak, consumers are showing a lot of caution in spending and the savings rate is very high because consumers are anticipating mortgages renewing at higher interest rates.\u201d<\/p>\n<p>CIBC Capital Markets economist Katherine Judge also expects to see a decrease in the CPI, with inflation dropping to 2.5 per cent year over year. Excluding mortgage interest rate costs, that drop is expected to be even bigger.<\/p>\n<p>\u201cIf you exclude mortgage interest rate costs from CPI, it\u2019s running much lower, and it has for several months,\u201d she said. \u201cIt\u2019s been running around two per cent, which is just a reason for the Bank of Canada to continue cutting.\u201d<\/p>\n<p>The question on everyone\u2019s mind is what the inflation trend will mean for future rate cuts by the Bank of Canada.<\/p>\n<\/section>\n<div class=\"js-widget-content article-content__widget-group article-content__widget-group--content-slot16\">\n<section class=\"newsletter-widget__new-story-page fp-headlinenews background--primary-light-gradient\" aria-labelledby=\"FinancialPostTopStories8473637472850257474635914163519488\" data-account-id=\"b9d3df2fccd108b5eff3c44f573b2cd6\" data-aqa=\"widget-newsletter\" data-newsletter=\"single\" data-newsletter-component=\"\" data-target-list=\"FP_HeadlineNews\" data-widget=\"newsletter\">\n<div class=\"newsletter-new-story-page-template\">\n<div class=\"newsletter-widget__header__new-story-page\">\n<div class=\"newsletter-widget__banner__new-story-page\"><img decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/ywAAAAAAQABAAACAUwAOw==\" fifu-lazy=\"1\" fifu-data-sizes=\"auto\" fifu-data-srcset=\"https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 75w, https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 100w, https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 150w, https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 240w, https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 320w, https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 500w, https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 640w, https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 800w, https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 1024w, https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 1280w, https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg 1600w\" alt=\"Top Stories\" loading=\"lazy\" fifu-data-src=\"https:\/\/dcs-static.gprod.postmedia.digital\/16.3.2\/websites\/images\/newsletters\/icon-fp-topStories.svg\"\/><\/div>\n<div>\n<p>Top Stories<\/p>\n<p class=\"newsletter-widget__text__new-story-page\">Get the latest headlines, breaking news and columns.<\/p>\n<\/div>\n<\/div>\n<div class=\"newsletter-widget__body__new-story-page\">\n<div class=\"js-replace-main__new-story-page\">\n<p class=\"newsletter-widget__disclaimer__new-story-page text-size--tiny\">By signing up you consent to receive the above newsletter from Postmedia Network Inc.<\/p>\n<\/div>\n<div class=\"js-submit-success\" hidden=\"\" id=\"submitSuccessFP_HeadlineNews\">\n<p>Thanks for signing up!<\/p>\n<p class=\"newsletter-widget__text__new-story-page\">A welcome email is on its way. 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Please try again<\/p>\n<\/div>\n<\/div>\n<\/section>\n<\/div>\n<section class=\"article-content__content-group article-content__content-group--story\">\n<p>Article content<\/p>\n<\/section>\n<div class=\"ad__section-border article-content__ad-group ad_counter_3\">\n<section aria-describedby=\"advertisment7727573731732728846741548101009408\" class=\"ad\">\n<p>Advertisement 3<\/p>\n<div class=\"ad__container\">\n<div class=\"ad__inner\" id=\"ad__inner-3\">\n<div class=\"ad__inner__container\" data-ad=\"[[7,7],[1200,250],[1200,90],[970,90],[970,250],[728,90],[300,250]]\" data-ad-interscroller=\"7x7\" data-ad-loc=\"3\" data-ad-mobile=\"[[7,7],[300,250],[320,50],[300,50]]\" data-aqa=\"advertisement\" id=\"ad-3\" style=\"--desktopHeight:250px;--mobileHeight:250px\">\n<div aria-hidden=\"true\" class=\"ad__placeholder\">\n<p>This advertisement has not loaded yet, but your article continues below.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/section>\n<\/div>\n<section class=\"article-content__content-group article-content__content-group--story\">\n<p>Article content<\/p>\n<p>On June 5, the Bank of Canada announced its first rate cut in nearly four years, bringing the policy rate down from five per cent to 4.75 per cent.<\/p>\n<p data-async=\"\">At a press conference in Ottawa that day, Bank of Canada governor Tiff Macklem warned that bringing inflation down further is likely to be an uneven process and decreasing the policy rate too quickly could jeopardize the progress already made.<\/p>\n<figure class=\"embedded-image\" data-aqa=\"embed-image\"><picture class=\"embedded-image__ratio\"><img decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/ywAAAAAAQABAAACAUwAOw==\" fifu-lazy=\"1\" fifu-data-sizes=\"auto\" fifu-data-srcset=\"https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=75&resize=75&ssl=1 75w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=100&resize=100&ssl=1 100w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=150&resize=150&ssl=1 150w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=240&resize=240&ssl=1 240w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=320&resize=320&ssl=1 320w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=500&resize=500&ssl=1 500w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=640&resize=640&ssl=1 640w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=800&resize=800&ssl=1 800w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=1024&resize=1024&ssl=1 1024w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=1280&resize=1280&ssl=1 1280w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1&w=1600&resize=1600&ssl=1 1600w\" alt=\"Bank of Canada governor Tiff Macklem during a news conference in Ottawa.\" class=\"embedded-image__image lazyload\" data-src=\"https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=90&strip=all&w=288&sig=pOtR6jQEL6PmmvOINQwwug\" data-srcset=\"https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=90&strip=all&w=288&sig=pOtR6jQEL6PmmvOINQwwug,\n                https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=90&strip=all&w=576&sig=9Hmsbk67AEWY09ug73Rwkw 2x\" fifu-data-src=\"https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621macklem.jpg?quality=5&strip=all&w=100&sig=Ljfwo6gfjkCP4h-iiEa8eg&ssl=1\" height=\"750\" loading=\"lazy\" width=\"1000\"\/><\/source><\/source><\/source><\/source><\/source><\/picture><figcaption class=\"image-caption\"><span class=\"caption\"> Bank of Canada governor Tiff Macklem during a news conference in Ottawa.<\/span> <span class=\"credit\">Photo by Justin Tang\/The Canadian Press files<\/span><\/figcaption><\/figure>\n<p>Despite Macklem\u2019s words of caution, economists are already predicting multiple cuts in the four remaining policy rate announcements in 2024.<\/p>\n<p>\u201cWe are assuming one 25-basis-point cut at each meeting this year,\u201d Stephen Brown, an economist at Capital Economics Ltd., said. \u201cWhich will take the policy rate down to 3.75 per cent, from 4.75 per cent currently.\u201d<\/p>\n<p>Bartlett thinks the central bank also has room to cut next month, but may take a pause in September.<\/p>\n<p>\u201cRight now, we have pencilled in another cut in July, we think the Bank of Canada has the room to cut,\u201d he said. \u201cWe think there will be a pause potentially in September, allowing the Bank of Canada to re-evaluate and also get a sense of direction from the other central banks, notably the Fed.\u201d<\/p>\n<\/section>\n<div class=\"ad__section-border article-content__ad-group ad_counter_4\">\n<section aria-describedby=\"advertisment1657777047470293568880056538759168\" class=\"ad\">\n<p>Advertisement 4<\/p>\n<div class=\"ad__container\">\n<div class=\"ad__inner\" id=\"ad__inner-4\">\n<div class=\"ad__inner__container\" data-ad=\"[[1200,250],[1200,90],[970,90],[970,250],[728,90],[300,250]]\" data-ad-loc=\"4\" data-ad-mobile=\"[[320,50],[300,50],[300,250]]\" data-aqa=\"advertisement\" id=\"ad-4\" style=\"--desktopHeight:250px;--mobileHeight:250px\">\n<div aria-hidden=\"true\" class=\"ad__placeholder\">\n<p>This advertisement has not loaded yet, but your article continues below.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/section>\n<\/div>\n<section class=\"article-content__content-group article-content__content-group--story\">\n<p>Article content<\/p>\n<p>While economists are confident that inflation will continue to cool, there are still risks that could disrupt this trend.<\/p>\n<p data-async=\"\">The Bank of Canada spent a considerable amount of time discussing some of the upside risks to inflation before its policy rate cut in June, according to deliberations released last week. Those risks include the potential for an overheated housing market due to lower borrowing rates.<\/p>\n<p data-async=\"\">\u201cOne upside risk is starting to look like house prices in addition to the pressures on shelter CPI that are coming from soaring rent,\u201d Derek Holt, vice-president and head of capital markets economics at the Bank of Nova Scotia, said in a note. \u201cDemand stimulus is being skewed toward builders by Ottawa\u2019s announcements to provide new build subsidies plus other pending changes, like when 30-year insured mortgages for newly built homes become available in August given changes in the recent federal budget.\u201d<\/p>\n<p>Another upside risk discussed by the central bank was wage pressures, with annual wage growth at four per cent. The combination of wage growth and poor productivity means labour costs continue to increase at an above-average pace, according to the Bank of Canada.<\/p>\n<\/section>\n<div class=\"ad__section-border article-content__ad-group ad_counter_5\">\n<section aria-describedby=\"advertisment2514953598472753118703841966030848\" class=\"ad\">\n<p>Advertisement 5<\/p>\n<div class=\"ad__container\">\n<div class=\"ad__inner\" id=\"ad__inner-5\">\n<div class=\"ad__inner__container\" data-ad=\"[[1200,250],[1200,90],[970,90],[970,250],[728,90],[300,250]]\" data-ad-loc=\"5\" data-ad-mobile=\"[[320,50],[300,50],[300,250]]\" data-aqa=\"advertisement\" id=\"ad-5\" style=\"--desktopHeight:250px;--mobileHeight:250px\">\n<div aria-hidden=\"true\" class=\"ad__placeholder\">\n<p>This advertisement has not loaded yet, but your article continues below.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/section>\n<\/div>\n<section class=\"article-content__content-group article-content__content-group--story\">\n<p>Article content<\/p>\n<section aria-labelledby=\"moreTopicLabel2619354054518073767791784066285568\" class=\"more-topic\" data-aqa=\"embed-more-topic\" data-carousel-component=\"\" data-carousel-icon-button=\"\" data-carousel-type=\"list\">\n<p>Recommended from Editorial<\/p>\n<p><button aria-hidden=\"true\" class=\"more-topic__button-prev\" data-carousel-prev=\"\" tabindex=\"-1\" title=\"previous\" type=\"button\"\/><\/p>\n<ol class=\"more-topic__items list-unstyled\" data-carousel-slide-list=\"\" tabindex=\"0\">\n<li data-evt-val=\"{\" control_fields=\"\" of=\"\" canada=\"\" governors=\"\" were=\"\" in=\"\" agreement=\"\" on=\"\" june=\"\" cut=\"\" data-carousel-item=\"\" data-evt=\"click\" data-evt-typ=\"click\"> <picture class=\"more-topic__item-image\"><img decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/ywAAAAAAQABAAACAUwAOw==\" fifu-lazy=\"1\" fifu-data-sizes=\"auto\" fifu-data-srcset=\"https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=96&strip=all&quality=5&sig=kFPKbpvGjFp4qk8ynJZrkA&ssl=1&w=75&resize=75&ssl=1 75w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=96&strip=all&quality=5&sig=kFPKbpvGjFp4qk8ynJZrkA&ssl=1&w=100&resize=100&ssl=1 100w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=96&strip=all&quality=5&sig=kFPKbpvGjFp4qk8ynJZrkA&ssl=1&w=150&resize=150&ssl=1 150w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=96&strip=all&quality=5&sig=kFPKbpvGjFp4qk8ynJZrkA&ssl=1&w=240&resize=240&ssl=1 240w, 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https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=96&strip=all&quality=5&sig=kFPKbpvGjFp4qk8ynJZrkA&ssl=1&w=1024&resize=1024&ssl=1 1024w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=96&strip=all&quality=5&sig=kFPKbpvGjFp4qk8ynJZrkA&ssl=1&w=1280&resize=1280&ssl=1 1280w, https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=96&strip=all&quality=5&sig=kFPKbpvGjFp4qk8ynJZrkA&ssl=1&w=1600&resize=1600&ssl=1 1600w\" alt=\"Governor of the Bank of Canada Tiff Macklem speaks during a news conference on the Bank of Canada's rate announcement, in Ottawa, on June 5, 2024. \" data-src=\"https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=96&strip=all&quality=80&sig=tZlFdb1vyA8AQCf7Teh4Yg\" fifu-data-src=\"https:\/\/i3.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=96&strip=all&quality=5&sig=kFPKbpvGjFp4qk8ynJZrkA&ssl=1\" srcset=\"https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=96&strip=all&quality=80&sig=tZlFdb1vyA8AQCf7Teh4Yg, https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=192&strip=all&quality=80&sig=vIif_Ucxg7lwjRJBwHqKhA 2x,\n                                             https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/0620-bc-macklem.jpg?h=288&strip=all&quality=80&sig=SWwUo0JREzVPRX3fs0pF4g 3x\" class=\"lazyload\" height=\"96\" loading=\"lazy\" width=\"96\"\/><\/picture>\n<p><span class=\"more-topic__item-text-clamp\">Bank of Canada governors were in agreement on June cut<\/span><\/p>\n<\/li>\n<li data-evt-val=\"{\" control_fields=\"\" economy=\"\" means=\"\" bank=\"\" of=\"\" canada=\"\" has=\"\" to=\"\" keep=\"\" cutting=\"\" rates=\"\" data-carousel-item=\"\" data-evt=\"click\" data-evt-typ=\"click\"> <picture class=\"more-topic__item-image\"><img decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/ywAAAAAAQABAAACAUwAOw==\" fifu-lazy=\"1\" fifu-data-sizes=\"auto\" fifu-data-srcset=\"https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=75&resize=75&ssl=1 75w, https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=100&resize=100&ssl=1 100w, https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=150&resize=150&ssl=1 150w, https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=240&resize=240&ssl=1 240w, https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=320&resize=320&ssl=1 320w, https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=500&resize=500&ssl=1 500w, https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=640&resize=640&ssl=1 640w, https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=800&resize=800&ssl=1 800w, https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=1024&resize=1024&ssl=1 1024w, https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=1280&resize=1280&ssl=1 1280w, https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1&w=1600&resize=1600&ssl=1 1600w\" alt=\"The Bank of Canada in Ottawa, Ont.\" data-src=\"https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=80&sig=xn-JbTYnF2f63ySNY7KItQ\" fifu-data-src=\"https:\/\/i1.wp.com\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=5&sig=wbyHf9OE-RorEoixbPRJnQ&ssl=1\" srcset=\"https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=96&strip=all&quality=80&sig=xn-JbTYnF2f63ySNY7KItQ, https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=192&strip=all&quality=80&sig=YccBJPMefTpR2bh_ANunoA 2x,\n                                             https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0503boc.jpg?h=288&strip=all&quality=80&sig=-5ExYgHDUh6WzY6csO-1Iw 3x\" class=\"lazyload\" height=\"96\" loading=\"lazy\" width=\"96\"\/><\/picture>\n<p><span class=\"more-topic__item-text-clamp\">Poor economy means Bank of Canada has to keep cutting rates<\/span><\/p>\n<\/li>\n<\/ol>\n<p><button aria-hidden=\"true\" class=\"more-topic__button-next\" data-carousel-next=\"\" tabindex=\"-1\" title=\"next\" type=\"button\"\/><\/section>\n<p>However, Judge said those pressures often lag the latest data.<\/p>\n<p data-async=\"\">\u201cOne area that the bank has highlighted that they\u2019re looking at is wage growth, which has been hotter than you would expect, given measures of labour market slack,\u201d she said. \u201cThat tends to lag economic conditions, so we think that will continue to ease off.\u201d<\/p>\n<p data-async=\"\"><em>\u2022 Email: jgowling@postmedia.com<\/em><\/p>\n<p data-async=\"\"><em><strong>Bookmark our website and support our journalism:<\/strong> Don\u2019t miss the business news you need to know \u2014 add financialpost.com to your bookmarks and sign up for our newsletters here.<\/em><\/p>\n<\/section>\n<section class=\"article-content__content-group article-content__content-group--story\">\n<p>Article content<\/p>\n<\/section>\n<section class=\"article-content__share-group article-delimiter\" data-evt-val=\"{\" control_fields=\"\" data-evt-typ=\"page_scroll\">\n<p>Share this article in your social network<\/p>\n<\/section>\n<\/div>\n\n<br \/>Next Bank of Canada rate cut could hinge on May inflation data<\/a><br \/>\n<br \/>2024-06-24 10:00:59<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Breadcrumb Trail Links News Economy Economists are predicting a slight decrease in Tuesday&#8217;s inflation numbers, giving the central bank further room to cut its policy rate Published Jun 24, 2024&#8230;<\/p>\n","protected":false},"author":2,"featured_media":48503,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2024\/06\/no0621inflation.jpg?quality=90&strip=all&w=288&h=216&sig=kgTeFMGvg6eWKC7K3OiE2A","fifu_image_alt":"","footnotes":""},"categories":[31],"tags":[],"class_list":["post-48502","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy"],"_links":{"self":[{"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/posts\/48502","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/comments?post=48502"}],"version-history":[{"count":0,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/posts\/48502\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/media\/48503"}],"wp:attachment":[{"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/media?parent=48502"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/categories?post=48502"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/tags?post=48502"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}