Bank of Canada expected to keep rates unchanged: WSJ

|By:, SA News Editor

The Bank of Canada is expected to keep its benchmark overnight interest rate unchanged at a policy announcement Wednesday, allowing officials more time to assess the effect of low oil prices and financial-market volatility on Canada's economy, the Wall Street Journal reports.

Economists from all 11 primary dealers of Canadian government securities expect Canada's central bank to keep the key rate at 1.75%.

Those surveyed expect a total of two rate hikes, on average, this year. Financial markets, though, don't see any rate increases this year, according to overnight-index swaps.

Canada 10-year government bond yield slips 1 basis point to 1.94%.

ETFs: FXC, EWC, QCAN, FCAN, HEWC, BBCA, FLCA

Previously: Bank of Canada keeps overnight rate target at 1.75% (Dec. 5, 2018)

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