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5 Things to Know Today: Key Money Headlines for Canadians

1. Spring Economic Update Lands Today Finance Minister François‑Philippe Champagne tables the 2026 Spring Economic Update this afternoon, outlining Ottawa’s latest fiscal outlook and new measures aimed at supporting Canadians amid global instability. 2. Fuel Excise Tax Temporarily Suspended Prime Minister Mark Carney has paused the federal excise tax on gas, diesel, and aviation fuel , offering short‑term relief as energy prices remain elevated due to geopolitical tensions.  3. Canada’s First Sovereign Wealth Fund Announced Carney has unveiled the Canada Strong Fund , the country’s first sovereign wealth fund, designed to finance major national infrastructure and economic‑building projects in partnership with the private sector.  4. CPP & OAS Payments Arrive Today New CPP and OAS payments are being issued today, including adjustments for seniors affected by recovery tax calculations, which are spread across monthly OAS payments.  5. Global Instability Conti...
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Federal Reserve Signals Slower Rate Cuts Amid Economic Uncertainty

 

The Federal Reserve is poised to announce a quarter-point rate cut on Wednesday, reducing its benchmark rate from 4.6% to approximately 4.3%. This move follows a half-point cut in September and a quarter-point reduction in November. However, Fed officials are signaling a slower pace of rate cuts in 2025, with expectations of only two or three reductions compared to the four previously anticipated.

The central bank's policymakers are recalibrating their approach as inflation has significantly decreased from its peak of 7.2% in June 2022 to 2.3% in October. Despite this progress, inflation remains above the Fed's 2% target, and the economy continues to grow robustly. Fed Chair Jerome Powell has emphasized the need for caution as the benchmark rate approaches a "neutral" level that neither stimulates nor hinders economic growth.

The upcoming presidential administration's proposed economic policies, including potential tariffs and tax cuts, add to the uncertainty surrounding future rate decisions. As a result, Americans may see only slight relief from high borrowing costs in the near future.




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