Economists predict Bank of Canada will hike interest rate by 0.75% this week

The Bank of Canada building is pictured in Ottawa on September 6, 2011. (THE CANADIAN PRESS/Sean Kilpatrick)

Economists are predicting the Bank of Canada will hike its key interest rate by three-quarters of a percentage point on Wednesday.
This move would mirror the U.S. Federal Reserve's rate decision last month.
At a news conference last month, Governor Tiff Macklem said the Canada's central bank ``may need to move more quickly'' after it raised rates by half a percentage point.
This comes as inflation rages globally.
In Canada, the inflation rate hit a 39-year high in May of 7.7 per cent.
With unemployment at a record low and inflation stubbornly high, Laval University economics professor Stephen Gordon says the Bank of Canada is in a good position to raise rates more aggressively.