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Housing still ‘thorn’ in Bank of Canada’s side: economists

As high borrowing costs cause consumers to pull back on spending, inflation is expected to inch closer to two per cent
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Statistics Canada is set to release its January consumer price index report on Tuesday and forecasters expect Canada’s inflation rate fell. A customer browses an aisle at a Metro grocery store In Toronto on Friday, Feb. 2, 2024. THE CANADIAN PRESS/Cole Burston

As the Bank of Canada waits for the right moment to start cutting interest rates, some economists are arguing that its decision shouldn’t hinge on the housing market.

Canada’s inflation rate has edged up and down over the last several months after dropping from its 2022 highs as global price pressures fade and the economy cools.

Statistics Canada is set to release its January consumer price index report on Tuesday and forecasters expect Canada’s inflation rate fell.

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