Bank of Canada and Federal Reserve Decisions

Canada’s financial landscape saw key announcements today as both the Bank of Canada and the U.S. Federal Reserve revealed their monetary policy decisions. The Bank of Canada is expected to maintain its key interest rate at 2.25%, influenced by global trade uncertainties and the Middle East conflict.

BNN Bloomberg provided live coverage of the Bank of Canada’s announcement at 9:45 am Eastern Time, followed by Governor Tiff Macklem’s press conference at 10:30 am ET. The U.S. Federal Reserve is also anticipated to hold steady on interest rates, despite pressure from President Trump to lower them.

Government Economic Update

Deficit Reduction and Investments

Canada’s federal government released its spring economic update yesterday, projecting a deficit reduction of nearly $12 billion. The update also outlined investments in skilled trades training, support for Canadian athletes, and a reduction in Canada Pension Plan contributions.

Oil Price Surge

Oil prices surged this morning following the United Arab Emirates’ withdrawal from OPEC. West Texas Intermediate crude prices rose above US$103 per barrel, a gain of over 3%, fueled by geopolitical tensions in the Middle East.

President Trump issued a warning to Iran via social media, demanding the country “get smart soon!” and criticizing its leadership, further exacerbating tensions.

Health Canada Approves Ozempic Generic

Increased Access to Medication

Health Canada has approved the first generic version of Ozempic, a medication used for diabetes management and weight loss. This approval is expected to increase access to the drug by lowering its cost.

Health Canada is currently reviewing eight additional applications for generic semaglutide, the active ingredient in Ozempic. A specific timeline for the generic version’s availability has not yet been announced.