The Bank of Canada just held interest rates at 2.75% for the 3rd time in a row.

They said the Canadian economy is still holding up, despite all the global drama around tariffs:

- Inflation is hovering around 2%
- Job growth is still solid

But here’s the problem...

The U.S. might slap new tariffs on Canadian goods by August 1.That could shake things up, so instead of one clear forecast, the Bank laid out 3 possible scenarios:

Here’s what the Bank of Canada is preparing for:

1. Tariffs stay the same

2. Tariffs get worse

3. Tariffs ease up

Pretty straightforward…

But if the economy slows down and inflation stays calm, they say they’re open to cutting rates… just not yet.

Note: Canada’s GDP shrank 1.5% last quarter…

But growth could bounce back if the tariff drama cools down.

All eyes are on August 1 and how trade negotiations go with the U.S.