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The central bank’s own surveys released earlier this week show some market watchers are expecting rate cuts before the end of the year. “We are pausing interest rate hikes to assess whether we’ve raised interest rates enough to get inflation all the way back to target,” he said Tuesday. “The question is really whether we’ve done enough. It’s not about whether we’re considering cutting interest rates.”
“The fact that we’ve paused may bring people back into the market. These are things we’re going to have to watch,” he said.Randall Bartlett, Desjardins’ senior director of Canadian economics and one of the report’s authors, tells Global News that the expected pause in rate hikes is already driving down some mortgage rates, opening the door for some prospective buyers.