- Stephen Poloz surprises markets for the 2nd time this year, delivering another rate cut in Canada, this time slashing the overnight rate 25 basis points to 0.5%.
- The 2015 growth estimate for Canada "has been marked down considerably" from the April projection, says the bank in its statement, and real GDP is expected to have contracted in H2.
- The bank does expect above-trend growth to return in Q4.
- Real GDP will grow by just over 1% this year and about 2.5% in 2016 and 2017, says the bank.
- The loonie (NYSEARCA:FXC) tumbles 1.4% to $0.7749.
- ETFs: EWC, CNDA, EWCS, QCAN, FCAN, HEWC