Bank of Canada expected to hold interest rates this week [Video]

OTTAWA –

The Bank of Canada is expected to preach patience at its interest rate announcement this week as economists say weakening economic conditions are setting the stage for rate cuts in the coming months.

The central bank is widely expected to continue holding its key interest rate at five per cent on Wednesday, as many forecasters anticipate the first rate cut to come in around June.

But the Bank of Canada will have the opportunity to weigh in on the latest gross domestic product figures and how those affect the path for interest rates.

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Economists say the slowdown in the Canadian economy is broadly in line with what the central bank was expecting — and hoping for.

“At the margin, things are looking …