Watch Jerome Powell's news conference after the latest market-moving Fed rate hike
CNBCMAY 2023
The goal of BOC has always been, and continues to be, fighting inflation, which means slowing the economy through various tools. Inflation is still at over 6%, so while the bank will pause any further rate hikes for the time being, it has rightly left the door open to further increases down the road.
Inflation has decreased, but not because of the BOC’s rate hikes. Rather lower commodity prices and the clearing of supply chains have indicated that inflation was transitory after all. With Canadians feeling the pressure of the bank's monetary tightening, the BOC shouldn’t even think about more hikes moving forward.