Bank of Canad has increased the overnight rate to 1.75% which means Prime has increased to 3.95%.
In a widely anticipated move, the Bank of Canada (BoC) raised its trend-setting interest rate by a quarter of a percentage point to 1.75 per cent on Wednesday. It was the fifth time that BoC governor Stephen Poloz lifted rates since mid-2017.
Ever since the previous rate increase in July, many economists had been predicting one more hike this year, likely to come in October. And the move appeared all but sealed after the signing of the new United States Mexico-Canada Agreement (USMCA), which removed considerable uncertainty that analysts worried had been weighing on Canada’s growth.