‘Very Difficult Position’: Bank of Canada Expected to Cut Rate Amid Trade Uncertainty

Governor of the Bank of Canada Tiff Macklem participates in a news conference on the Bank's interest rate announcement and release of the Monetary Policy Report, in Ottawa, on Jan. 29, 2025. The Canadian Press/Justin Tang

The Bank of Canada’s interest rate announcement arrives on Wednesday in a cloud of uncertainty thanks to a shifting trade war with the United States.

Most economists expect the central bank will deliver another quarter-point rate cut while it waits to see how long the dispute with Canada’s largest trading partner lasts.