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RBC: Follow-Up July Hike Seems Likely

CANADA
  • "Today’s increase is hardly shocking given recent data flow but was only expected by a handful of analysts"
  • A follow-up hike in July is likely: "The concluding statement doesn’t include a clear tightening bias but our expectation has been that if the BoC was coming off the sidelines, they would intend to hike more than once—if 4.50% wasn’t restrictive enough it’s hard to think 4.75% is."
  • RBC update their forecasts tomorrow.

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