Bank of Canada holds rates, sees no early hike

Tue Mar 2, 2010 9:01am EST
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OTTAWA (Reuters) - The Bank of Canada held its key interest rate unchanged on Tuesday at the all-time low of 0.25 percent, as expected, and upheld its conditional commitment to keep rates at that level until the end of June.

While acknowledging stronger-than-expected economic growth and inflation, the bank also suggested it was not prepared to hike rates early because of slack in the economy, continuing currency strength and weak U.S. demand for Canadian exports.

(Reporting by Louise Egan)