Will the Bank of Canada Cut Rates on September 17, 2025?
A powerful consensus has formed across Canada’s major financial institutions: the Bank of Canada (BoC) will cut its benchmark rate by 25 basis points to 2.50%. This pivotal shift is driven by a cascade of weak economic data, including a deteriorating labour market and a Q2 economic contraction. The key tension for the BoC is balancing this faltering momentum against stubbornly high core inflation.
While the immediate cut seems certain, a significant divergence exists on the future path of monetary policy, with terminal rate forecasts ranging from a dovish 2.00% to a hawkish reversal of cuts in 2026. This dashboard provides an interactive breakdown of the landscape heading into tomorrow’s announcement.
To access our interactive tool analyzing tomorrow’s announcmeent, please click on the below image (or click here).
For more information about how a potential Bank of Canada rate cut could impact your mortgage, please reach out to an Outline Financial mortgage agent as we are on standby to help.
*Please note this tool and article was published on Sept 16, 2025 at 5:30pm.
