BOC minutes said persistent high gasoline prices raise the likelihood that price increases will spread to other goods and services and could require a policy-rate response. The bank left its policy rate at 2.25% earlier this month; Governor Macklem signaled a hawkish view, citing elevated inflation and rising upside risks. Officials said they have not yet seen pass-through from gasoline into broader CPI but remain uncertain about its probability and magnitude. Members agreed that the higher gaso

BOC minutes said persistent high gasoline prices raise the likelihood that price increases will spread to other goods and services and could require a policy-rate response. The bank left its policy rate at 2.25% earlier this month; Governor Macklem signaled a hawkish view, citing elevated inflation and rising upside risks. Officials said they have not yet seen pass-through from gasoline into broader CPI but remain uncertain about its probability and magnitude. Members agreed that the higher gasoline prices increase the risk of wider inflation and that, if pass-through occurs, a monetary-policy response may be warranted to prevent broad-based inflation.