All eyes will be on the U.S. Federal Reserve on Wednesday with the expectation it will raise its benchmark overnight interest rate by three-quarters of a percentage point to a target range of 2.25% to 2.50% at the end of a two-day policy meeting.

Inflation has actually accelerated since the Fed began raising rates in March. With that in mind, it’s prompted officials to shift from the quarter-percentage-point increase that month to a half-percentage-point hike in May and to a 75-basis-point increase in June.

The anticipated rate hike will have ripple effects here in Canada, and no doubt impact on people’s travel plans south of the border with even higher interest rates on the horizon.