Today, the Bank of Canada lowered its target for the overnight rate to 3.75%, with the Bank Rate set at 4% and the deposit rate at 3.75%. The Bank continues its balance sheet normalization efforts.

Globally, the economy is projected to grow at a steady 3% over the next two years. Growth in the U.S. is anticipated to be stronger than previously expected, while China’s outlook remains cautious. The euro area’s growth has been sluggish but is expected to improve modestly next year. Inflation in advanced economies has decreased recently, aligning with central bank targets. Since July, global financial conditions have eased, partly due to expectations of lower policy interest rates. Additionally, global oil prices are roughly $10 lower than projected in the July Monetary Policy Report (MPR).

In Canada, economic growth was around 2% in the first half of the year, with an anticipated 1.75% growth in the second half. While overall consumption has grown, it has decreased on a per-person basis. Exports have seen a boost from the opening of the Trans Mountain Expansion pipeline. The labor market remains subdued, with the unemployment rate at 6.5% as of September. Population growth continues to expand the labor force, but hiring has been moderate, impacting young people and newcomers the most. Wage growth remains high compared to productivity growth, indicating excess supply in the economy.

Looking ahead, GDP growth is expected to strengthen gradually as lower interest rates support economic activity. A modest increase in consumer spending per capita, along with slower population growth, is expected to drive this recovery. Residential investment is projected to rise, fueled by strong housing demand, while business investment should pick up as overall demand grows. Exports are likely to stay robust, supported by strong U.S. demand.

The Bank forecasts GDP growth of 1.2% in 2024, 2.1% in 2025, and 2.3% in 2026. As the economy gains momentum, the excess supply will gradually be absorbed.

Consumer Price Index (CPI) inflation has dropped notably from 2.7% in June to 1.6% in September. While inflation in shelter costs remains high, it has begun to ease. Excess supply in the broader economy has lowered the prices of many goods and services, and the recent drop in global oil prices has driven down gasoline costs. These factors have collectively brought inflation down. The Bank’s core inflation measures are now below 2.5%. With inflation pressures no longer widespread, expectations from businesses and consumers have largely stabilized.

The Bank anticipates that inflation will hover around its target range throughout the forecast period. The upward pressure from shelter and services costs is expected to diminish, while downward pressures should ease as the economy absorbs the current excess supply.

With inflation nearing the 2% target, the Governing Council has decided to reduce the policy rate by 50 basis points to bolster economic growth and maintain inflation around the mid-point of the 1% to 3% target range. If the economy aligns with the Bank's forecast, additional rate cuts are anticipated. However, the timing and pace of any future reductions will depend on economic data and its implications for inflation. Decisions will be made on a meeting-by-meeting basis. The Bank remains dedicated to maintaining price stability for Canadians, keeping inflation close to the 2% target.

Source: bankofcanada.ca

3 Simple Winterization Steps for Your Lawn Tractor

Before putting your tractor away for the winter, take a few quick steps to avoid issues in the spring:

1. Prevent Engine Corrosion: Moisture in an idle engine can cause rust. To stop this, "fog" the engine by spraying an oily mist into each cylinder. Just remove the spark plugs, spray some aerosol fogging oil (available at auto parts stores), and reinstall the plugs.

2. Protect the Battery: A battery that isn’t fully charged can suffer permanent damage, especially in cold weather. Hook the battery up to a charger and charge it until the voltage reads 12.7 volts.

3. Stabilize the Fuel: Gas left sitting in the tank can clog the fuel system, leading to costly repairs. Add a fuel stabilizer like STA-BIL or Seafoam before storing the tractor. (It’s also a good idea to use a stabilizer year-round.) Stabilizers don’t work well with ethanol-blended gas, so if you’re unsure about the fuel, run the engine until the tank is empty.

Winterizing Your Gas Grill

If you don’t plan to grill during the winter, now’s the time to store your grill before it's buried under snow. After giving it a thorough cleaning to remove grease and food residue, follow these steps to ensure a hassle-free grilling season next spring:

1. Shut off the gas at the LP tank, detach the burner, remove the gas tubes, and take out the unit. Apply a layer of cooking oil to the burners and other metal parts to protect them from moisture and rust. Wrap the burner unit in a plastic bag to prevent spiders and insects from nesting in the gas tubes—a common issue that can cause poor starts, uneven flames, or even fires.

2. If you're storing your grill outdoors, leave the propane tank connected (but turned off) and cover the grill with a protective cover once cleaned. If storing indoors, disconnect the propane tank and leave it outside, upright, away from vents or play areas. Never store the tank indoors, as even a small leak can lead to a dangerous explosion. Finally, cover the grill’s gas line opening with a plastic bag to keep bugs out.

How to Winterize Your Sprinkler System

You can either hire a professional to blow out your sprinkler system each year or tackle it yourself with an air compressor. The key is ensuring no water remains in the lines, as any leftover moisture can freeze and cause pipes to burst. Keep in mind that even the largest home compressors can’t handle the entire system at once, so you’ll need to blow it out zone by zone.

If you have your original irrigation layout, you can calculate the cubic feet per minute (cfm) needed to blow out each zone. Divide the total gallons per minute (gpm) of the zone by 7.5 to find the cfm. If you don't have this information, just rent a 10-cfm compressor and hose from a local tool rental shop.

Set the compressor’s air pressure to a maximum of 80 psi for rigid PVC systems or 50 psi for flexible black polyethylene systems. Turn off the water supply and set the timer to open one zone at a time. If there's a manual drain valve at the end of the zone, open it as well.

Next, close both valves on the backflow preventer and remove the plug on the blow-out port. Attach a quick-connect hose adapter, connect the air hose, and blow out the zone. Once the sprinkler heads pop up and expel water, disconnect the hose immediately.

Avoid overdoing it, as the plastic gears inside the heads can melt in less than a minute without water to cool them. Move to the next zone and allow the heads to cool before repeating the process. For good measure, blow out each zone twice.

Winterize Your Pressure Washer or Risk Ice Damage

I once had an electric pressure washer—emphasis on had. A few years ago, I left it in the garage over winter without draining the pump. The water inside froze and expanded, and when I tried to use it the following spring, water sprayed out from everywhere except the nozzle. I learned the hard way that I should have disconnected the hoses and used a pump antifreeze/lubricant like Pump Saver from Briggs & Stratton. This product pushes out the water and replaces it with antifreeze and lubricant to protect the pump. You can find pump antifreeze/lubricants at most home improvement stores.

Protect Your A/C Compressor From Falling Icicles

There's no need to completely wrap your air conditioner for the winter—many manufacturers actually discourage it, as it can attract rodents and trap moisture, leading to premature corrosion. However, placing a piece of plywood on top of the unit is a smart way to shield it from potential damage caused by falling icicles.

Drain Your Garden Hoses or End Up Replacing Them

I’ll admit, I’ve occasionally been too lazy to drain my garden hoses before winter. Most of the time, it’s fine, but every now and then, frozen water splits a hose wide open. I’ve lost a few cheap ones this way, and even an expensive one (ouch!). It’s a needless expense because draining hoses is quick and simple: either blow out the water with an air compressor or stretch them out on a sloped yard or driveway to let the water drain out.

Gutter Cleaner Tip

An old plastic spatula works perfectly for cleaning debris from gutters! It won't scratch the surface, and you can easily trim it with snips to match the gutter’s shape. Plus, grime wipes off easily, making cleanup quick and simple. Not in the mood for all that effort?

Curb appeal refers to the visual attractiveness and overall charm of a property's exterior. It includes elements like landscaping, architectural details, cleanliness, maintenance, and design features, all of which shape the first impression that potential buyers or visitors will have of the home.

With each changing season, it's an opportunity to refresh your home's outdoor space. Whether you're preparing to sell or simply take pride in your well-maintained home, there are several easy ways to enhance your home's exterior this summer.

Here are five effective strategies to boost your curb appeal:

1. Revamp the Driveway Your driveway is one of the first things noticed upon arrival, making it crucial for curb appeal. Start by pressure washing to remove dirt and debris. If you find any cracks or loose stones, repair or replace them as needed. For a fresh look and added protection, consider sealing the driveway.

Adding a rock garden or hedge can enhance the visual appeal, providing a natural and attractive border that complements your landscaping.

2. Tend to Your Lawn and Gardens An overgrown lawn and weed-filled garden can be off-putting. Improve your lawn by seeding, fertilizing, and aerating, and ensure it's adequately watered. Refresh garden beds with new mulch and plants. If starting anew, use landscaping fabric to keep weeds at bay while allowing water and air to nourish the soil.

3. Enhance Your Front Entrance Your front entryway sets the tone for your home. Start by cleaning the area, fixing any damage, and replacing burnt-out light bulbs. Paint your front door a vibrant color to brighten the facade and protect it from the elements. Add decorative touches such as hanging or potted plants, comfortable seating, and a seasonal wreath to create a warm and inviting entrance.

4. Update Your Deck and Patio Clean your patio and deck with a pressure washer and apply a fresh coat of protective stain to the deck. Remove weeds between patio stones and consider cleaning the siding and windows while you're at it. Refresh or replace weathered patio furniture and arrange it for optimal enjoyment.

Add potted plants to your deck or patio for added privacy and aesthetics. Large plants can act as a barrier from neighbors while also attracting beneficial wildlife like bees, birds, and butterflies.

5. Upgrade Your Lighting Outdoor lighting can dramatically enhance your home's appearance after dark. Install pot lights under the eaves to illuminate the exterior and create a grand effect. Solar-powered lights along the driveway or walkway provide both functionality and a welcoming ambiance. If space allows, add a pendant light to the front porch for a cozy touch. Lanterns or string lights can transform your patio, deck, or backyard into a charming space for relaxation and entertaining.

By making these updates, you can significantly boost your home's curb appeal. Even small changes can make a big difference, helping to create a welcoming and visually appealing exterior that reflects your personal style and pride in your home.