The Globe and Mail reports in its Thursday, Sept. 22, edition that the Federal Reserve has given the Bank of Canada much to think about. The Globe's David Parkinson writes that on Wednesday, the Fed raised the stakes in the global battle against inflation. It set the bar much higher for the peak of interest rates. It placed the world's biggest economy on the edge of recession as it pursues this steeper rate path. Now the BOC -- facing different conditions than the Fed, but in pursuit of the same inflation-vanquishing goal -- will have to decide what the strikingly altered picture painted by its U.S. counterpart means for Canadian monetary policy. The Globe says the BOC now must consider how the Fed's new stance changes that balance -- and how much it can afford to diverge from its neighbour. The members of the Federal Open Market Committee -- the body that sets rates -- projected that the benchmark rate will need to rise another full percentage point by the end of this year, and will likely peak at somewhere between 4.5 per cent and 5 per cent next year. That is nearly one percentage point higher than the Fed was talking about in the summer -- a striking leap in expectations in the space of a couple of months.