Canada Goes for 1% Hike…
In a surprise to the markets (expecting a 75bps hike), the Bank of Canada hiked interest rates by 100bps, adding language around the perceived need to “front-load the path” to higher rates.

“The bank is guarding against the risk that high inflation becomes entrenched because if it does, restoring price stability will require even higher interest rates, leading to a weaker economy,” Governor Tiff Macklem and his officials said in the July monetary policy report


I have seen chatter on the wire today that the Fed will go 100bp as well.


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