It was a day of mixed reactions in Canada. The Bank of Canada did keep with expectations in hiking the interest rate by a quarter point for the fifth consecutive time. At the same time the central bank indicated uncertainty about the next interest rate hike. This caused the Canadian dollar to slip to two month lows.

The interest rate now stands at 3.75 percent while the US interest rate is at 4.5 percent. The Canadian economy has expanded for ten straight quarters on consumer spending and exports of natural gas and crude oil. The central bank’s statement said the currency had gained more than was expected. But cost pressures are evident on the manufacturing sector which firing workers rapidly.