The Bank of Canada has unveiled the Summary of Deliberations from its December 6 meeting, characterized by a “dovish” hold. According to the released document, the Governing Council reached a consensus that the probability of monetary policy being adequately restrictive had increased.

The minutes revealed the Governing Council’s recognition that monetary policy alone couldn’t address the structural shortage of supply in the housing sector. They expressed concerns about the potential for elevated shelter inflation, posing challenges for inflation to return to the 2% target.

In the aftermath of the document’s release, the Canadian Dollar experienced a weakening, with USD/CAD trading at its lowest level since early August, slightly above 1.3300.