(Andy Blatchford – Canadian Press)
The threat of sliding oil prices forced the Bank of Canada to drop its trend-setting interest rate Wednesday, a surprising move that revealed how the country’s economic outlook soured in just a matter of months.
The central bank, which nudged its key rate down to 0.75% from 1%, said the rapid oil-price collapse has created many unknowns around economic growth in the oil-exporting nation.
Until the effects of oil’s late-2014 tailspin started to trickle through, Canada appeared to be on the cusp of a promising post-recession rebound – and inching closer to a rate hike. Click here to read more.