Bank of Canada Signals Accelerated Rate Cuts Amid Economic Concerns

Central bank's dovish tone reflects growing worries about recession and consumer strain, with more rate reductions expected.

Bank of Canada cut its benchmark interest rate to 4.5%, the second reduction this year.
Economists now predict additional cuts in September and October, accelerating previous forecasts.
Governor Tiff Macklem highlights weak economic growth and rising unemployment as key factors.
Experts note that current rate cuts may have limited immediate impact on the housing market.
Some forecasts suggest the policy rate could drop to 2.5% by mid-2025.