BoC Likely to Hold Steady After Firmer Canadian CPI – TD Securities

TD Securities strategists highlighted that Canada's headline Consumer Price Index (CPI) for May came in above expectations, driven by energy prices and seasonal influences. Core inflation measures, however, remained largely unchanged.

The firm believes the Bank of Canada will continue its current policy stance, showing patience despite the firmer headline reading. This suggests no immediate rate action from the central bank.

Market participants are now watching for further data to gauge whether underlying inflation pressures will build, potentially shifting the BoC's outlook.