Bank of Canada hints it may not cut rates in June

It's not the Bank of Canada's usual style to hint that it may not cut rates in June, so Canadian Imperial Bank of Commerce will insist it will make its first rate cut in June, despite the lack of new dovish rhetoric in its latest policy statement. The bank's economist, Avery Shenfeld, said that many Canadians expect borrowing costs to fall when rates are left unchanged, and more evidence of progress on inflation or downside risks to growth will only cast doubt on the option of keeping the policy rate at 5 percent. We should therefore remain cautious and not jump to too many conclusions about future rate cuts just because there aren't any definitive measures in place.