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STIR: 70% Chance Of 25bp Hike Tomorrow

CANADA
  • OIS is back to pricing a ~70% chance of a 25bp hike at tomorrow’s BoC meeting, having moved between 60-70% for much of yesterday’s main session in what can be a volatile instrument.
  • BAX futures see a further 4.75x25bp increases in 2022 in the 3M BA rate, a rate that has already increased 25bps in the month to date ahead of increasingly expected liftoff.
  • No data of note today ahead of tomorrow's BoC and Fed decisions. A reminder that you can see MNI’s BoC Preview here: https://marketnews.com/mni-boc-preview-jan-2022-lift-off

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