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Bank of Canada deputy warns pushing inflation below 2% comes with big risks

financialpost
Summary
Nutrition label

74% Informative

The Bank of Canada is warning against inflation falling below the central bank’s two per cent target.

Rhys Mendes says inflation could lead to a deflationary cycle and pose a big risk to the economy.

Mendes said in order for inflation to remain below 2% , the bank would have to keep the policy rate where it is now at 3.75% .

VR Score

80

Informative language

79

Neutral language

69

Article tone

informal

Language

English

Language complexity

51

Offensive language

not offensive

Hate speech

not hateful

Attention-grabbing headline

not detected

Known propaganda techniques

not detected

Time-value

short-lived

External references

8

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