30 January 1998 - International [Canada]

The Bank of Canada raises the bank rate by 50 basis points to 5.0% and the target range for its overnight lending rate (which banks and brokerages charge one another for overnight loans) also by 50 basis points to 4.5%-5.0%, arguing that the economy is growing solidly so that "the extent of the significant further easing of monetary conditions due to the recent decline in the Canadian dollar is not appropriate". The currency has fallen to "levels inconsistent with the underlying trends of the Canadian economy". The bank rate is still 50 basis points below the US Fed funds target.