Bank of Canada Expected to Raise Rate to 2.5% This Week

The significance here is less the expected hike itself than the Bank of Canada's framing of the trade war as sector-concentrated — a judgement that could be tested if tariff effects broaden. Anyone with cross-border exposure, from energy to manufacturing, sits in the sectors most directly implicated. The open question is whether the central bank's growth and inflation forecasts start to price broader tariff pass-through, and whether its language on the future rate path shifts alongside them.