Investors expect the Bank of Canada (BoC) to cut interest rates for the third consecutive time at the meeting on September 4, which aligns with the central bank's previous statements.

Inflation in Canada fell to 2.5% in July compared to the same month the previous year. Additionally, the core inflation rate dropped further below the target of 2.0%. This decline in inflation is believed to be due to a slowdown in the labor market.

Source: Fxstreet