# Bank of Canada moves up rate hike forecast, ends QE amid higher inflation | Financial Post

> The Bank of Canada ended its quantitative easing bond-purchase program and moved up its expected timing for interest rate increases, possibly as soon as April. Its forecasts show inflation near 5% for the rest of the year. The bank cited higher energy prices and pandemic supply bottlenecks as the main inflation drivers.

- Date: 2021-10-27 · published 2021-10-27T12:00:00.000Z
- Category: macro · region Canada · magnitude medium
- Page: https://feedsoft.ai/events/44813-bank-of-canada-moves-up-rate-hike-forecast-ends-qe-amid-higher-inflation
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md)

## Why it matters

A faster tightening path tends to strengthen the Canadian dollar against the U.S. dollar, which lowers USD/CAD. Higher borrowing costs also raise financing costs for Canadian feed and livestock operations.

## Read by commodity

- USDCAD: bearish ▼

## Sources

- financialpost.com: https://financialpost.com/news/economy/bank-of-canada-holds-interest-rate-ends-qe

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.