OTTAWA — Canada’s annual inflation rate fell to 2.7 per cent in April amid a broad-based slowdown in price growth, boosting expectations of an interest rate cut next month.
Tuesday’s consumer price index report bears good news for the Bank of Canada, which has been looking for a sustained decline in inflation toward its two per cent target. The central bank has signalled that it is inching closer to cutting interest rates but wants to see the slowdown in inflation sustained for longer.
TD says it still thinks the central bank will wait until July to cut, noting the annual inflation rate is still to close to the upper bound of the Bank of Canada's one to three per cent inflation target range.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more: