Investing.com – The Bank of Canada cut interest rates in a surprise move Friday in what it called a “protective measure” against the novel coronavirus.
The BoC cut rates by 50 basis points to 0.75%. It was the central bank’s second rate cut this month.
It also said it stands ready to “adjust monetary policy further” if needed to help the economy, it said.
“This unscheduled rate decision is a proactive measure taken in light of the negative shocks to Canada’s economy arising from the COVID-19 pandemic and the recent sharp drop in oil prices,” the BoC said in its statement.
The S&P/TSX Composite index rose 4.8% in afternoon trading.
Breaking: Bank of Canada Cuts Rates by Half Point to 0.75%
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