While today's 50-bps rate hike was no surprise, the hawkish Bank of Canada statements that accompanied it were.
Markets fully expect the Bank of Canada to deliver its second half-point rate hike in as many months at its upcoming rate decision meeting on Wednesday.
The Big 6 banks have raised their expectations for Bank of Canada rate hikes, with most expecting another 125 to 150 basis points in tightening by the end of the year.
Following a jump in bond yields last week, lenders across the country once again bumped up their fixed mortgage rates.
Targeting high inflation is the Bank of Canada's top priority, and it's prepared to raise interest rates "forcefully" if that's what's need.
Inflation continued to heat up in March, raising market expectations for future Bank of Canada rate hikes.
As fixed mortgage rates continued to rise last week, variable-rate holders are expected to see their own increase next week.
The run-up in fixed mortgage rates isn't finished yet, with mortgage lenders delivering a fresh round of hikes over the past week.