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The latest monetary policy statement from the Bank of Canada is a crystal-clear indication that Governor Stephen Poloz and his team has shifted focus to the persistent and dangerous lack of inflation.
The latest monetary policy statement from the Bank of Canada is a crystal-clear indication that Governor Stephen Poloz and his team has shifted focus to the persistent and dangerous lack of inflation.
(CHRIS WATTIE/REUTERS)

Bank of Canada opens door to rate cut

The most telling element of this morning’s Bank of Canada’s policy statement may not be so much the words, as where the central bank has chosen to put them.

The statement’s paragraph on its inflation outlook, which has resided in the bottom half of the statement for literally years in the bank’s eight-times-a-year policy statement, is now at the top. Second paragraph, right after the deeply unsurprising headline news that the bank has maintained its policy interest rate at 1 per cent for the 27th straight time (it last changed in September, 2010).