The Bank of Canada has lowered its key interest rate by another 25 basis points.

The overnight rate now stands at 4.5 per cent, down from 4.75 per cent.

It is the second consecutive drop after the central bank increased rates 10 times between March 2022 and July 2023.

Officials said the latest drop comes as broad price pressures continue to ease and with inflation expected to move closer to their two per cent target.

More to come.