The Globe and Mail reports in its Wednesday, Sept. 25, edition that Bank of Canada Governor Tiff Macklem hinted at more interest-rate cuts in his first comments on monetary policy since inflation hit the central bank's 2-per-cent target. The Globe's Mark Rendell writes that Mr. Macklem emphasized the importance of keeping inflation within the 1- to 3-per-cent range. Statistics Canada reported that annual Consumer Price Index inflation fell to 2 per cent in August. Mr. Macklem wants to see a slowdown in shelter price inflation and measures of core inflation. He also expressed concerns about weak economic growth and a softening labour market, which could cause inflation to drop below 2 per cent. Mr. Macklem said: "Some recent indicators suggest growth may not be as strong as we expected. We will be closely watching consumer spending, as well as business hiring and investment." This shift in priorities may have implications for the size and pace of interest-rate cuts in the coming months. So far, the BOC has cut interest rates by a quarter-percentage point at three consecutive meetings since June, bringing the policy rate to 4.25 per cent. At that level, Mr. Rendell says borrowing costs remain a drag on economic growth.