![BoC could lower interest rates again in July](https://cdn.magzter.com/1704825715/1719210477/articles/Cd7qyBi8W1719213230093/BOC-COULD-LOWER-INTEREST-RATES-AGAIN-IN-JULY.jpg)
Following a rate announcement this month, Bank of Canada governor Tiff Macklem said the central bank had more confidence that inflation was moving closer to its two per cent target.
Economists are forecasting inflation slowed further in May, which would be welcome progress for the Bank of Canada after it cut its key lending rate for the first time in four years.
Tuesdayâs report from Statistics Canada will offer the first inflation reading after the Bank of Canada delivered a quarter-percentagepoint rate cut on June 5, bringing its benchmark rate to 4.75 per cent. Economists say the new data could set the stage for another cut in July.
BMO and TD are forecasting Canadaâs annual inflation rate slowed to 2.6 and 2.5 per cent, respectively, down slightly from 2.7 per cent in April.
âIt looks like itâs a fairly uneventful calm month for inflation. I would say at this stage, less news is good news,â said Douglas Porter, BMOâs chief economist.
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