Core Viewpoint - Canadian inflation remains high, delaying interest rate cuts according to Dominique Lapointe from Manulife Investment Management [1] Inflation Analysis - The Bank of Canada is hesitant to overlook temporary price increases caused by retaliatory tariffs due to uncertainty regarding the extent of cost pass-through and other inflationary factors [1] - Despite high inflation, Canada has not yet faced recessionary pressures that would compel the central bank to adopt a more accommodative stance [1] Future Projections - Lapointe anticipates that rising unemployment, an expanding output gap, and the clearer temporary impact of tariffs on inflation will ultimately lead the central bank to implement two more interest rate cuts during the current cycle [1]