The Bank of Canada increased the overnight rate another 75 basis points, to 3.25 percent, which is now about the neutral range and into territory where it is meant to dampen growth—and they say it will likely continue to go up in future decisions. This being said, we should also recognise how strong the Canadian economy is running right now, which is having an effect on things like deficit and debt, which conversely makes the Conservatives’ insistence that government spending is driving this inflation (it’s not), and what they think austerity would accomplish here (nothing good). Anyway, here’s economist Kevin Milligan to break it down:

https://twitter.com/kevinmilligan/status/1567532339496108034

https://twitter.com/kevinmilligan/status/1567536188680187908

https://twitter.com/kevinmilligan/status/1567538208971583489

Ukraine Dispatch, Day 197:

Shelling near the Zaporizhzhia nuclear power plant has damaged the last remaining backup power line to the plant, which means that the coolant systems are now fully on back-up generators, and the ongoing shelling makes doing repairs an unlikely possibility. Elsewhere, heavy fighting has been reported in the north near Kharkiv; in the east, in the Donbas region; and in the south, near Kherson, where Ukrainian soldiers are pushing Russian forces in their counter-offensive.

Some pretty incredible footage of Macron talking to Zelensky on the morning of the invasion, when the scale of the full-scale Russian assault on Ukraine was becoming clear.pic.twitter.com/9ETzGScTmp

— Jimmy Rushton (@JimmySecUK) September 7, 2022

⚡️CNN: Ukrainian official says 2.5 million people have been forcibly deported to Russia.

— The Kyiv Independent (@KyivIndependent) September 8, 2022

Good reads:

• The big “scoop” from the Cabinet retreat is Trudeau says he’ll fight the next election. Which of course he’d say, because he would sabotage himself if he didn’t. Cripes.
• Chrystia Freeland says she already has a big job, but didn’t outright deny she’s looking for the top NATO job, so speculation will continue to swirl (for little reason).
• François-Philippe Champagne says there is a deal between major telecom companies to ensure emergency roaming in the event of a future major outage.
• The RCMP caught the alleged deadly stabbing suspect in Saskatchewan, and then he went into “medical distress” and died. More on his victims and the timeline.
• What’s that? The RCMP are resistant to change? You don’t say! (Let me re-up this column calling for an end to contract policing as a way to force change).
• Court documents are revealing more about the RCMP’s concerns with the Coutts’ blockade and the weapons there intended to be used against police.
• The Conservatives are now counting ballots for their leadership contest, which will be announced on Saturday.
• Jagmeet Singh says he will “force” the government to do more about dental care and housing. Erm, he means the provincial governments, right? It’s their jurisdiction.
• François Legault is saying the quiet part out loud, saying he limits immigration in order to counter “violence” and “extremism.” Yeah, that’s going over well.
• Having lost the fight against carbon pricing at the Supreme Court of Canada, Ontario is now radically increasing the price of industrial emissions.
• Heather Scoffield is concerned that the government may emerge from their Cabinet retreat with new measures that will undermine the Bank of Canada’s efforts.
• Andrew Coyne worries that we are at severe risk of violence against political figures, and that it’s not being taken seriously enough, especially by those spreading fear.

Odds and ends:

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