Annual inflation falls to 1.6% in September, raises odds of 50-basis-point rate cut
The chances of a half-percentage point interest rate cut by the Bank of Canada became more likely Tuesday after Statistics Canada reported annual inflation fell to 1.6 per cent in September.
Economist Tu Nguyen of accounting and consultancy firm RSM Canada said she had expected the inflation rate to remain close to the central bank's two per cent target, where it was in August, for a few more months.
"This is one of the instances where I'm happy to be wrong," she said.