Markets raise bets of June BoC rate cut after inflation data

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Markets raise bets of June BoC rate cut after inflation data
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More progress made on consumer prices but timing of cuts still seen as toss up

Today’s inflation numbers haven’t settled the debate in money markets on whether the Bank of Canada will start cutting interest rates next month. Both June and July BoC policy meetings are still very much in play.

Odds of a cut at the July meeting are now up to 83 per cent, from 75 per cent prior to the 830 am ET inflation report.

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