No drumroll needed: The Bank of Canada Maintains Status Quo (Updated)

This is an updated version of the story published at 10:30 a.m. ET

The Bank of Canada, in a non-thriller, kept its key rate static at 5% on Wednesday.

Consequently, Canada's benchmark prime rate is still glued at 7.20%, where it has been for eight long months.

The Bank said it's "still concerned about risks to the outlook for inflation, particularly the persistence in underlying inflation."

Governor Tiff Macklem said that's true even if "we look beyond shelter," adding that he's factoring in some kind of housing comeback.

Some fretted the BoC would scowl at the peppier-than-expected economy, but Macklem put them at ease. "In the six weeks since our January decision, there have been no big surprises," he assured.

The timing for the first dip in prime rate still boils down to one thing: inflation. Before providing rate relief, the BoC prefers to see both lines in the chart below (Canadian and U.S. inflation) making new cycle lows and dipping meaningfully into the 2% range.

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