BOC VIEW: CIBC note that "the most recent....>

CANADA: BOC VIEW: CIBC note that "the most recent data cycle was a strong one,

with the economy growing some 2.9% in Q2-18, just a touch above BoC estimates.

Headline price gains are now the strongest since 2011, though are expected to

moderate towards the 2.0% target into end of 2019. Alongside a deepening growth

profile, the BoC continues to believe higher interest rates will be warranted to

achieve their inflation target. But, uncertainty from trade is still a lingering

threat and, ultimately is one that could derail the timing of the next hike. We

continue to look for the BoC to raise administered rates at the October meeting,

marking the fifth hike this cycle. Following that hike though, CIBC Economics

looks for just one additional rate increase in 2019, leaving policy at 2.0% to

conclude the cycle."