Quick answer
On December 6, 2023, the Bank of Canada held its policy (overnight) rate at 5.00%. Inflation (CPI) was running at 3.4% (core 3.8%) and unemployment was 5.8% at the time.
With the bond market moving and rate chatter everywhere, Jay was getting calls from confused buyers. Josh’s read: no change today, but the pressure that eventually forces the Bank’s hand was building.
The rate path (2021–2024)
The Bank of Canada policy rate over the 2½ years around this decision. It sat at 5.00% here.
Inflation vs the 2% target
Total CPI and the Bank's core measure against its 2% target — the “why” behind the decision. Inflation was 3.4% at the time.
Heads up: this covers the decision on December 6, 2023. Rates move constantly — for the rate and options that apply to you today, book a call.
Frequently asked
Did the Bank of Canada cut interest rates on December 6, 2023?
No — on December 6, 2023 the Bank of Canada held its policy (overnight) rate at 5.00%.
What was the Bank of Canada's policy rate in December 2023?
5.00% — the target for the overnight rate, with inflation (CPI) around 3.4%.
What does a rate hold mean for my mortgage?
If you're in a variable-rate mortgage, a cut lowers your rate (and payment or the interest portion) right away, while a hold leaves it unchanged. If you're on a fixed rate, it matters most at renewal. For what it means for your specific situation, book a call with Josh.