While the Bank of Canada largely met my expectations, its actions were taken a touch more hawkishly by markets as some were positioned for a somewhat more dovish spin. They didn’t get that at all and so the two-year Canada yield backed up by about 4bps and the 5-year yield increased by about 4bps. USDCAD was little changed in the aftermath. Chart 1 shows a slight rise in meeting pricing pre-statement (red) and post-statement. {chart} First, the BoC hiked its overnight rate by 75bps to 3.25% which brings cumulative rate hikes to 300bps since March. That part was fully priced going in although there was the risk they ... (full story)