The Bank of Canada cut its key interest rate by 50bps for a second consecutive time in its December decision, as expected by markets. This is the fifth consecutive decrease since June and brings the rate to 3.

In its final major cut of the year, the Bank of Canada has lowered the policy interest rate from 3.75% to 3.25%.

Trump has threatened to impose a 25% tax on all products entering the U.S. from Canada and Mexico unless they stem the flow of migrants and drugs.