The Bank of Canada might hike interest rates soon. Why now?

It's been over two years since the Bank of Canada hiked interest rates, but that might be about to change. More and more traders and experts are expecting the central bank to hike its benchmark interest rate next week. Why now? The big reason is inflation. It inched up to 3.1% in September. Almost all of that is being blamed on high fuel prices. Bank of Canada Governor Tiff Macklem says he sees no end in sight to the crisis in the Gulf that's driving up those prices. It's clear that the situation in the Gulf is getting more worrisome. Oil prices have re-escalated. This hike isn't guaranteed, but several economists recently flipped their predictions from a hold to a hike. This will have impacts across the economy, but experts say housing will be the big one. The housing market's kind of on its knees right now, and raising rates is like tossing a drowning guy an anchor. Variable-rate mortgage holders will see higher payments right away. Rates for new fixed mortgages will also go up if the market senses more hikes are on the way. We'll find out next week if an October rate hike is part of the Bank of Canada's plan.