Some welcome relief has come for consumers and businesses as the Bank of Canada has decided to lower its key policy rate by 25 basis points to 2.5%, marking the first cut since March.   Scotiabank’s Chief Economist Jean-François Perrault is back to explain what drove the central bank’s decision, what it says about the state of the economy, why we “aren’t out of the woods” yet on inflation, the odds of another cut this year, and much more.  For legal disclosures, please visit http://bit.ly/socialdisclaim and www.gbm.scotiabank.com/disclosures    Key moments this episode:  00:53 - JF’s main takeaway from the Bank of Canada’s decision to cut its key policy rate  1:53 - What does this say about the state of the economy?  2:28 - How much of an impact does a cut of 25 basis points have on the economy? (And why another cut is likely)  5:08 - With counter-tariffs on the U.S. largely eliminated, what is driving inflation in Canada now? What is keeping inflation higher than hoped?  7:39 - What does JF see for the economy ahead, given all the uncertainties?  9:14 - With a federal budget to be announced in November, what could this influx of government spending mean for the economy and inflation?  12:33 - How will this 25 basis point cut impact households, individuals, and businesses? And why mortgage borrowers are most likely to feel the impact  14:14 - Will lowering interest rates and making it easier for consumers to buy a house drive up prices and inflation?  15:16 - Why JF expects the Bank of Canada to cut again before the end of the year – but then possibly start to reverse them next year  16:26 - JF’s main takeaways for Canadians from the central bank’s announcement