Global National: July 13

With inflation in this country at a 39-year high there were signals this was coming — but today the Bank of Canada surprised most forecasters with the largest hike to its key interest rate in nearly 25 years. It’s gone up a full percentage point to 2.5 per cent, which is the largest increase since August of 1998 and the fourth since March of this year. The change will have an immediate impact on all kinds of debt, including variable-rate mortgages. Anne Gaviola has more. Canadians are already feeling the pinch of higher prices on just about everything and the cost of groceries will just keep on climbing. The global food supply is being impacted by weather, labor, and geopolitics like Russia’s invasion of Ukraine. And while the official numbers are expected last week, it’s clear that Canadians are paying more than they have in decades. Mike Drolet has more.