The Financial Post reports in its Thursday, Sept. 18, edition that the Bank of Canada cut its policy rate by 25 basis points on Wednesday to 2.5 per cent, its first rate reduction since March. The Post's Jordan Gowling writes that Governor Tiff Macklem said, "With a weaker economy and less upside risk to inflation, governing council judged that a reduction in the policy rate was appropriate to better balance the risks going forward." Wednesday's rate cut was anticipated by economists after the Canadian economy shrank in the second quarter, resulting in a loss of 100,000 jobs in July and August, which raised the unemployment rate to 7.1 per cent. Mr. Macklem noted a "clear consensus" among policy makers for this cut. However, he did not provide guidance on future rate decisions, though economists expect further rate relief to support the economy. Alberta Central economist Charles St-Arnaud said in a note: "Overall, we continue to believe that the general direction for interest rates is lower. With the BOC's measure of core inflation likely to ease below 3 per cent by October, and the economy and labour market expected to remain tepid in the second half of 2025, we anticipate further cuts in October and December."