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Bank of Canada holds interest rate – CTV News

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The Bank of Canada is holding its key interest rate steady for the first time in a year, sticking to its wait-and-see approach even as its U.S. counterpart charts a more aggressive path.

The central bank said Wednesday that it has decided to hold its key rate at 4.5 per cent based on its assessment of recent economic data.

“Governing council will continue to assess economic developments and the impact of past interest rate increases, and is prepared to increase the policy rate further if needed to return to the two per cent inflation target,” the Bank of Canada said.

The central bank rapidly raised its key interest rate over the last year, bringing it from near-zero to the highest level since 2007.

In January, the Bank of Canada announced an eighth consecutive rate hike and said it expects to maintain its key interest rate if economic developments stay broadly in line with its forecasts.

Economists were widely expecting the Bank of Canada to hold its key interest rate Wednesday, noting it would be too soon to raise rates again. The economy has also generally moved in the right direction for the central bank, which is aiming to slow economic activity.

“There really were no significant surprises here,” said Douglas Porter, BMO’s chief economist.

The Bank of Canada’s policy is starting to diverge from the U.S. Federal Reserve, which signalled recently it plans to continue raising interest rates.

U.S. monetary policy does have implications for Canada, said Stephen Gordon, an economics professor at Laval University. Higher interest rates in the U.S. could attract investment there, weakening the Canadian dollar and raising prices of imports for Canada.

But Gordon cautioned “it’s not an automatic thing of, the (Bank of Canada) has to follow the Fed.”

Recent data showed inflation in Canada slowed to 5.9 per cent in January while the economy posted no growth in the fourth quarter.

The central bank noted “the labour market remains very tight,” but said it expects it to ease and for wage growth to moderate.

Porter said the February labour force survey coming out Friday will give more clarity on whether the 150,000 jobs added in January represented a fluke or underlying strength in the labour market.

The Bank of Canada still expects the country’s annual inflation rate to fall to around three per cent by mid-year.

Gordon said it would take a “surprise” for the Bank of Canada to jump back in and raise interest rates further.

Barring any unforeseen events, inflation in Canada is expected to continue to slow this year because of base year effects.

A base-year effect refers to the impact of price movements from a year ago on the calculation of the year-over-year inflation rate.

Given much of the acceleration in price growth happened in the first half of 2022 as the threat of Russia invading Ukraine turned into a reality, annual inflation rate is expected to continue to slow in the coming months.

“Right now, we can expect inflation to keep tracking down,” Gordon said.

Interest rate hikes can also take up to two years to be fully felt in the economy, meaning more time is needed for the economy to react to previous hikes.

Globally, the Bank of Canada says economic developments have evolved broadly in line with its forecasts. However, it said the strength in China’s economic recovery and the impact of Russia’s war in Ukraine are still “upside risks” that could push up inflation.

Looking ahead, Porter said there are “limits” to how much the Bank of Canada can diverge from the Federal Reserve. He also noted the economies are linked and experience similar pressures, meaning if one country needs higher interest rates, the other likely does too.

“If the U.S. economy is really showing more underlying strength and greater inflation pressures, those will probably get eventually reflected in Canada as well,” he said.

The Bank of Canada will make its next interest rate decision on April 12, accompanied by updated forecasts in its quarterly monetary policy report.

This report by The Canadian Press was first published March 8, 2023.

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Two youths arrested after emergency alert issued in New Brunswick

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MONCTON, N.B. – New Brunswick RCMP say two youths have been arrested after an emergency alert was issued Monday evening about someone carrying a gun in the province’s southeast.

Caledonia Region Mounties say they were first called out to Main Street in the community of Salisbury around 7 p.m. on reports of a shooting.

A 48-year-old man was found at the scene suffering from gunshot wounds and he was rushed to hospital with non-life-threatening injuries.

Police say in the interest of public safety, they issued an Alert Ready message at 8:15 p.m. for someone driving a silver Ford F-150 pickup truck and reportedly carrying a firearm with dangerous intent in the Salisbury and Moncton area.

Two youths were arrested without incident later in the evening in Salisbury, and the alert was cancelled just after midnight Tuesday.

Police are still looking for the silver pickup truck, covered in mud, with possible Nova Scotia licence plate HDC 958. They now confirm the truck was stolen from Central Blissville.

This report by The Canadian Press was first published Sept. 16, 2024.

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World Junior Girls Golf Championship coming to Toronto-area golf course

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MISSISSAUGA, Ont. – Golf Canada has set an impressive stretch goal of having 30 professional golfers at the highest levels of the sport by 2032.

The World Junior Girls Golf Championship is a huge part of that target.

Credit Valley Golf and Country Club will host the international tournament from Sept. 30 to Oct. 5, with 24 teams representing 23 nations — Canada gets two squads — competing. Lindsay McGrath, a 17-year-old golfer from Oakville, Ont., said she’s excited to be representing Canada and continue to develop her game.

“I’m really grateful to be here,” said McGrath on Monday after a news conference in Credit Valley’s clubhouse in Mississauga, Ont. “It’s just such an awesome feeling being here and representing our country, wearing all the logos and being on Team Canada.

“I’ve always wanted to play in this tournament, so it’s really special to me.”

McGrath will be joined by Nobelle Park of Oakville, Ont., and Eileen Park of Red Deer, Alta., on Team Canada 2. All three earned their places through a qualifying tournament last month.

“I love my teammates so much,” said McGrath. “I know Nobelle and Eileen very well. I’m just so excited to be with them. We have such a great relationship.”

Shauna Liu of Maple, Ont., Calgary’s Aphrodite Deng and Clairey Lin make up Team Canada 2. Liu earned her exemption following her win at the 2024 Canadian Junior Girls Championship while Deng earned her exemption as being the low eligible Canadian on the world amateur golf ranking as of Aug. 7.

Deng was No. 175 at the time, she has since improved to No. 171 and is Canada’s lowest-ranked player.

“I think it’s a really great opportunity,” said Liu. “We don’t really get that many opportunities to play with people from across the world, so it’s really great to meet new people and play with them.

“It’s great to see maybe how they play and take parts from their game that we might also implement our own games.”

Golf Canada founded the World Junior Girls Golf Championship in 2014 to fill a void in women’s international competition and help grow its own homegrown talent. The hosts won for the first time last year when Vancouver’s Anna Huang, Toronto’s Vanessa Borovilos and Vancouver’s Vanessa Zhang won team gold and Huang earned individual silver.

Medallists who have gone on to win on the LPGA Tour include Brooke Henderson of Smiths Falls, Ont., who was fourth in the individual competition at the inaugural tournament. She was on Canada’s bronze-medal team in 2014 with Selena Costabile of Thornhill, Ont., and Calgary’s Jaclyn Lee.

Other notable competitors who went on to become LPGA Tour winners include Angel Yin and Megan Khang of the United States, as well as Yuka Saso of the Philippines, Sweden’s Linn Grant and Atthaya Thitikul of Thailand.

“It’s not if, it’s when they’re going to be on the LPGA Tour,” said Garrett Ball, Golf Canada’s chief operating officer, of how Canada’s golfers in the World Junior Girls Championship can be part of the organization’s goal to have 30 pros in the LPGA and PGA Tours by 2032.

“Events like this, like the She Plays Golf festival that we launched two years ago, and then the CPKC Women’s Open exemptions that we utilize to bring in our national team athletes and get the experience has been important in that pathway.”

The individual winner of the World Junior Girls Golf Championship will earn a berth in next year’s CPKC Women’s Open at nearby Mississaugua Golf and Country Club.

Both clubs, as well as former RBC Canadian Open host site Glen Abbey Golf Club, were devastated by heavy rains through June and July as the Greater Toronto Area had its wettest summer in recorded history.

Jason Hanna, the chief operating officer of Credit Valley Golf and Country Club, said that he has seen the Credit River flood so badly that it affected the course’s playability a handful of times over his nearly two decades with the club.

Staff and members alike came together to clean up the course after the flooding was over, with hundreds of people coming together to make the club playable again.

“You had to show up, bring your own rake, bring your own shovel, bring your own gloves, and then we’d take them down to the golf course, assign them to areas where they would work, and then we would do a big barbecue down at the halfway house,” said Hanna. “We got guys, like, 80 years old, putting in eight-hour days down there, working away.”

This report by The Canadian Press was first published Sept. 16, 2024.

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Purple place: Mets unveil the new Grimace seat at Citi Field

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NEW YORK (AP) — Fenway Park has the Ted Williams seat. And now Citi Field has the Grimace seat.

The kid-friendly McDonald’s character made another appearance at the ballpark Monday, when the New York Mets unveiled a commemorative purple seat in section 302 to honor “his special connection to Mets fans.”

Wearing his pear-shaped purple costume and a baseball glove on backwards, Grimace threw out a funny-looking first pitch — as best he could with those furry fingers and short arms — before New York beat the Miami Marlins at Citi Field on June 12.

That victory began a seven-game winning streak, and Grimace the Mets’ good-luck charm soon went viral, taking on a life of its own online.

New York is 53-31 since June 12, the best record in the majors during that span. The Mets were tied with rival Atlanta for the last National League playoff spot as they opened their final homestand of the season Monday night against Washington.

The new Grimace seat in the second deck in right field — located in row 6, seat 12 to signify 6/12 on the calendar — was brought into the Shannon Forde press conference room Monday afternoon. The character posed next to the chair and with fans who strolled into the room.

The seat is available for purchase for each of the Mets’ remaining home games.

“It’s been great to see how our fanbase created the Grimace phenomenon following his first pitch in June and in the months since,” Mets senior vice president of partnerships Brenden Mallette said in a news release. “As we explored how to further capture the magic of this moment and celebrate our new celebrity fan, installing a commemorative seat ahead of fan appreciation weekend felt like the perfect way to give something back to the fans in a fun and unique way.”

Up in Boston, the famous Ted Williams seat is painted bright red among rows of green chairs deep in the right-field stands at Fenway Park to mark where a reported 502-foot homer hit by the Hall of Fame slugger landed in June 1946.

So, does this catapult Grimace into Splendid Splinter territory?

“I don’t know if we put him on the same level,” Mets executive vice president and chief marketing officer Andy Goldberg said with a grin.

“It’s just been a fun year, and at the same time, we’ve been playing great ball. Ever since the end of May, we have been crushing it,” he explained. “So I think that added to the mystique.”

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