BANK OF CANADA WARNS ENERGY PRICES THREATEN INFLATION OUTLOOK

Bank of Canada Governor Tiff Macklem said persistently high global energy prices could complicate the country's inflation outlook, with the next rate decision due October 28. Canada's headline inflation has held at 3% for two straight months, versus the Bank's own July forecast that it would cool to around 2.5% in the second half of the year. Macklem said the key question now is whether inflation falls back on its own or the Bank has to raise rates to push it there, a call that puts the Canadian dollar ($FXC) in focus.