加央行又降息0.75%,利息至50年最低

Ironman

Bank of Canada chops borrowing costs to 50-year low
Last Updated: Tuesday, December 9, 2008 | 9:28 AM ET Comments80Recommend83
) i) N5 c- H4 T" Q# q4 `, V  NCBC News

3 Z  K' J; x' E' p! b9 Q' J8 e: j0 {The Bank of Canada chopped a key interest rate by three-quarters of a percentage point on Tuesday as the central bank moves to combat economic weakness.

With the interest rate reduction — which was the biggest drop since one of a similar size in October 2001— the bank's overnight rate now stands at 1.5 per cent, a level not seen since 1958.

"While Canada's economy evolved largely as expected during the summer and early autumn, it is now entering a recession as a result of the weakness in global economic activity," the bank said.

; ?# p; E3 ~/ r* M"The recent declines in terms of trade, real income growth, and confidence are prompting more cautious behaviour by households and businesses."

0 d1 k/ q/ a- W& U8 s3 _Economists had been divided over whether the central bank would cut by one-half of a percentage point or go with a more aggressive reduction.

8 N7 U9 B* |: i7 z9 M) wIn the wake of the Bank of Canada's decision, the Canadian dollar was trading down 0.93 of a cent to 78.81 cents US.