The Bank of Canada is expected to cut by 50bp again this week – preview

RBC expect the Bank of Canada to cut its benchmark rate by another 50bp at its meeting on Wednesday, December 11, 2024:

• adding to a 50 bps cut in October and 125 bps in total cuts since June
• We continue to expect that additional interest rate cuts will be needed in the year ahead with the overnight rate ultimately falling below the Bnk’s neutral range estimate at 2% in mid-2025

Earlier previews:

• Goldman Sachs: BOC meeting on Wednesday – Base case and alternative scenario
• USD/CAD rises above 1.41 as a jumbo Bank of Canada rate cut nears

Macklem will speak at 1530 GMT, 1030 Eastern time.

This article was written by Eamonn Sheridan at www.forexlive.com.