Rate Hike Imminent as Poloz Takes Hawkish Turn
- Traders give more than 50% odds of rate hike Wednesday
- Communication cited as major reason to wait for October
Stephen Poloz
Photographer: David Kawai/BloombergThis article is for subscribers only.
No one doubts the Bank of Canada will raise interest rates again soon. The country’s economy has turned out to be much stronger than anyone was predicting only a few months ago, giving policy makers scope to bring rates back up to more normal levels.
The only debate is whether Governor Stephen Poloz will move at Wednesday’s meeting or wait until October, and whether current projections for as many as three more rate increases by the end of 2018 are too conservative.