Canadian Yield Curve Portal Independent data & forecasting project

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Monetary Policy

The central bank's use of interest rates (and other tools) to manage inflation and economic growth.

Monetary policy is how a central bank — the Bank of Canada, in this site's context — manages the money supply and borrowing costs to keep inflation near its target and support stable economic growth. Its main tool is the overnight policy rate.

Monetary policy decisions ripple through everything this site tracks: they move the overnight rate directly, influence bond yields and the yield curve as markets price in expectations, and affect the exchange rate as capital flows respond to rate differentials.