The Bank of Canada on Wednesday trimmed its key policy rate by 25 basis points to 3%, cut growth forecasts and said it was concerned that U.S. tariffs could stoke persistently high inflation. U.S. President Donald Trump is promising to impose a 25% tariff on all imports from Canada on Saturday.

The Bank of Canada on Wednesday further cut its interest rate by 25 basis points, bringing the country’s monetary policy rate down to 3.0 percent. Tiff Macklem, the Bank of Canada governor, speaking on the rate cut,

OTTAWA — The potential for U.S. tariffs is clouding the economic outlook for the Bank of Canada as it delivered another interest rate cut, reducing its policy rate by a quarter-percentage point to three per cent.