Asian shares fell after the Bank of Canada hiked interest rates to 4.75%, offering hopes that the Federal Reserve would take a hawkish approach in its next meeting too. Both China and Hong Kong saw a decline; while China's export numbers for May slumped, Hong Kong's Hang Seng Index fell 0.57%. The Bank of Canada's move follows the Reserve Bank of Australia's hike, which also took place earlier this week. Like the Bank of Canada, the Reserve Bank of Australia cited rising inflation pressures. The developments increase the likelihood that the Fed will surprise the market in its meeting next week with a potential hike that is not yet fully priced in.