The Bank of Canada trimmed its key policy rate by 25 basis points on Wednesday to 2.75% and raised concerns about inflationary pressures and weaker growth stemming from trade uncertainty and President Donald Trump's tariffs.

Ontario Premier Doug Ford said that his province is prepared to add a 25% surcharge on the electricity it exports to Michigan.

The Bank of Canada has cut its benchmark interest rate by 0.25 percentage points to 2.75 per cent, the lowest since July 2022. It is the seventh consecutive cut in the central bank’s monetary easing cycle as Canada’s inflation rate has been within policymakers’ target range of about 2 per cent.