Came across an interesting article posted in the Toronto Star. I’m not sure another rate cut is going to make any difference. Financial institutions have tightened up their lending belts and new rates aren’t going to make a difference if they aren’t willing to loan the money.
Original Article:
Bay Street: Bank set to chop rates
GDP report expected to show biggest quarterly contraction since 1991
OTTAWA – The Bank of Canada looks set to deliver a hefty half-point interest rate cut tomorrow that should boost the country’s dollar and bonds, but it may also signal its 15-month rate-cutting campaign is near an end.
