Bank of Canada’s Macklem cites higher inflation outlook in rate hike case

The notable signal here is the shift in the policy debate itself: the Governing Council weighed holding steady before opting to tighten, and its own framing now says the room for easing has narrowed. That reframes the central bank's reaction function around spillover risk from energy prices into broader inflation — a concern that matters well beyond Canada's borders, since energy-driven inflation pressures are a global story. For crypto and RWA markets, the relevant read-through is the direction of travel in developed-market policy rather than any single decision. Whether the meeting-by-meeting approach produces further moves, and whether energy pass-through actually shows up in core measures, is the open question.