The central bank tightening cycle is in the final stretch of reaching the end zone now. While some major central banks are still trying to convince of a more hawkish stance, others are closing in on the end of rate hikes. And the Bank of Canada is arguably one of the latter.

They are expected to hike interest rates by 25 bps today but markets are bracing for the potential for a surprise decision, in which they might announce a pause to the tightening cycle. After all, Macklem & co. isn't one to shy away from surprises.

The thing about today's decision is that the Bank of Canada could lay down a marker as the first major central bank to have turned hawkish and then announce a pause to its tightening cycle.

Even though this particular change in policy stance is very much expected among all the major central banks (except the BOJ) at some point, it is the very fact that we're witnessing the first signs of change and that could spell something big for broader markets. Adam provided a good preview on that above, so watch out in case we do get some big market moves later in the day - not just on the loonie.