FXstreet.com (Barcelona) - The Bank of Canada has decided, against expectations, to trim its Overnight rate by 25 basis points to 0.25% its lowest level ever. The Canadian Dollar has reacted down to the unexpected monetary policy decision.

The Bank has committed to maintain the current interest rate level till the second quarter next year, while warning that economic recession will be deeper than expected, and that economic measures will take longer to enact than previously thought.

The USD/CAD has soared from levels around 1.2425 all the way to 1.2500. The EUR/CAD has soared from 1.6000 to levels immediately below 1.6150.

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