The Bank of Canada raises its rate to 2.5%
The Bank of Canada raised its target for the overnight rate by 25 basis points on 28 October. It said equity and credit markets have been volatile because of uncertainty about the AI sector.
Source published · In the Weekly Review of 1 November 2026
Filed under Economy
The Bank of Canada raised its target for the overnight rate by 25 basis points to 2.5% on 28 October, with the Bank Rate at 2.75% and the deposit rate at 2.45%. It said inflation has risen in most countries with higher energy prices and refinery margins, and revised global growth for 2026 up slightly to 3.1%.
The bank noted that global financial conditions have tightened since July and that equity and credit markets have been volatile because of uncertainty about the outlook for the AI sector.