What's next after the rate hike
The Bank of Canada hiked rates earlier and removed the reference to a 'gradual' pace of hikes. Poloz said that doesn't necessarily mean they will hike quicker, it just gives them more latitude to respond to economic data.
However the market sees it as a hint that the pace of hikes will pick up.
The odds of a back-to-back hike in December are up to 23% compared to 17% a day ago. The odds of a hike in January are up to 70% from 67% previously.
I spoke to Reuters earlier today about the BOC decision.
