Bank of Canada Governor Tiff Macklem stated on Monday that a new round of U.S. tariffs could prompt businesses to delay investment and hiring, causing Canada's fourth-quarter economic growth to "roughly halve" to below 1%. Meanwhile, annual inflation remains at 3% (above the 2% target), and could rise further if oil prices stay near $100 per barrel. This warning marks a substantial downward revision in the central bank's assessment of the economic outlook, sharply narrowing its policy space.