Bank of Canada joins in the Fed in hiking interest rates
Summary:
Bank of Canada hikes interest rates by 25 bps as expected
BoC becomes the second central bank among G7 nations to join the rate hike club
Rate hike is the first in nearly seven years
BoC held interest rates steady at 0.50% for nearly 13-months
Markets expecting another rate hike before the end of the year
The Bank of Canada became the second G7 economy to join the rate hike club, following in the footsteps from the U.S. Federal Reserve.
As widely expected, the Canadian central bank hiked interest rates by 25 basis points to bring the short term interest rates to 0.75%. This was the first rate hike in nearly seven years.
"Governing Council judges that the current outlook warrants today’s withdrawal of some of the monetary policy stimulus in the economy. Fu