The Royal Bank of Canada (RBC) has projected that the Bank of Canada (BoC) will deliver another 25 basis point rate cut in October, following its September move to restart the easing cycle.

Canada’s financial watchdog has sharpened its focus on two emerging threats - tariffs and housing market strains - amid ongoing uncertainty in the global and domestic economy.

Home sales in the Greater Toronto Area (GTA) rose in September 2025, with 5,592 transactions reported — an 8.5% increase from a year earlier — as more buyers entered the market following the Bank of Canada’s interest rate cut, which lowered borrowing costs and made monthly mortgage payments more affordable. On a seasonally adjusted basis, sales also increased from August while new listings declined, indicating slightly tighter conditions in some market segments.