Article content

OTTAWA — If Stephen Poloz got his messaging right, the Bank of Canada is putting further interest rate cuts solidly on the sidelines.

[np_storybar title=”You can forget about another rate cut, economists say, as Bank of Canada signals ‘one and done'” link=”business.financialpost.com/2015/03/04/economists-dump-bets-on-more-cuts-after-bank-of-canada-signals-one-and-done/”]Economists are abandoning predictions of another rate cut after Canada’s central bank showed itself to be more of a hawk than expected today. Keep reading.

[/np_storybar]

We apologize, but this video has failed to load.

tap here to see other videos from our team. Try refreshing your browser, or Bank of Canada says low rates will 'mitigate' shock of battered oil prices Back to video

The central bank governor on Wednesday sent his strongest signal yet that the economy needs more breathing space to absorb January’s surprise drop in lending costs, which Mr. Poloz characterized at the time as “insurance” against the negative impact of plunging oil prices.

Now, policymakers are suggesting that improved financial conditions should “mitigate” the damage from the oil shock, and that there is no need to tighten rates again, at least not now.