The Bank of Canada left its benchmark overnight rate unchanged at 2.25% on Wednesday, marking the sixth consecutive hold after an aggressive easing cycle last year. The central bank said growth is picking up and inflation is projected to ease gradually from its recent spike, with the economy showing signs of improvement. It slightly raised growth forecasts for 2027 and 2028 but cut the 2026 projection to 0.7% from 1.2% in April, reflecting a weaker start to the year. The Bank of Canada raised its 2026 inflation forecast to 2.5% from 2.3% in April, but said inflation should remain near the midpoint of its 1% to 3% target range over the next two years.