The Financial Post reports in its Friday, July 31, edition that Canada's economy grew in the second quarter of 2026, but uncertainty from United States trade policies and the war in Iran requires a flexible monetary policy, according to the Bank of Canada's governing council before its July 15 interest rate decision. The Post's Paula Tran writes that a summary of the council's deliberations reveals that they decided to maintain interest rates at 2.25 per cent due to Canada's stagnant economy, with no growth in gross domestic product from the first quarter of 2025 to the first quarter of 2026. Members noted that uncertainty regarding tariffs and the CUSMA agreement contributed to excess supply in the economy. Members noted signs of economic recovery in the second quarter of 2026, following adjustments to U.S. tariffs and geopolitical issues, with growth expanding beyond strong consumer and government spending. For example, growth in exports had resumed and business investment is expected to pick up and broaden in the near term due to increased investment in the oil and gas sector. Governing council members expect economic growth to rebound to about 2.5 per cent in the second quarter of 2026.