- Consensus among BOC members was that the cost of delaying action was greater than the benefit of waiting for more data
- Agreed they were prepared to hike further if needed but 'did not want to do more than they had to'
- Concerned that progress towards price stability could stall and inflation could rise again if upside surprises materialize
- Felt the data clearly indicated that excess demand and core inflation were proving to be more persistent than expected
- Core inflation measures suggest the return to 2% inflation will take longer than anticipated
- Agreed that household consumption should moderate as higher rates take effect
- Felt it was too early to tell whether wage growth was easing
This doesn't sound like a central bank that will be in a rush to hike again, especially with data since the decision coming in soft. USD/CAD is up 70 pips to 1.3237 today, which is a five-day high.