Fxstreet.com (Barcelona) - The Bank of Canada left key interest rate unchanged at 4.50%, while recognizing that inflation risks, due to the strength of canadian dollar over U.S. dollar, have turned to the downside.

Bank of Canada members see actual interest rates consistent with inflation target, which is to bring it below 2.0% level. Projections by BOC indicate that inflation would be below target by the second half 2008.