Something big is clearly going on.
BoC lowering overnight lending rate by 25 basis points is a major move that will further weaken the Canadian dollar. The BoC appears to be joining other countries (plus Euro) in depreciating its currency against the US$.
The yield on US treasuries is dropping, which forced the BoC to drop its key rate or face a rising currency as global investors chase yield. Lending credence to the idea that the BoC wants a weaker currency.
The other major currency event that ocurred is the SNB move last week. Canada must have briefed the Fed and other central banks of its plans, and probably got the go-ahead. I think the SNB acted unilaterally.
Is this the prelude to a much more significant event related to the US$? Perhaps the dropping yeild on US treasuries (and rising price) is blowing up interest rate derivatives, which have all been betting on rising rates. Oil and energy derivatives have already gone nuclear. The carnage from oil/energy, currencies and now interest rates has got to be huge. Maybe the bubble has actually burst.
Find a safe haven.