BREAKING: Bank of Canada increases policy interest rate by 100 basis points, bringing key lending rate to 2.5%

Bank of Canada raises key rate by 1%: “The Bank of Canada increased its benchmark interest rate by one percentage point on Wednesday, the most aggressive rate hike since 1998 and a larger move than investors and private-sector economists were expecting.”

Most economists had expected a 75 basis point increase, following the steps of the U.S. Federal Reserve last month. Markets had also priced in that hike.