The fight against inflation with interest rate hikes from central banks such as the Bank of Canada may still surprise us. Read more
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to levels not seen in decades. Central banks have responded, though some say a little late, with the most aggressive hiking cycle in recent history.Article content Harris backs up this view with three points. First neutral rates — when interest rates are neither accommodative or restrictive — vary across countries and are difficult to pin down. “To some degree central banks will only know what the neutral rate ‘was’ with the benefit of hindsight,” he said.
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