RBC Royal Bank announced today that it is increasing its residential mortgage rates effective August 11.

Yesterday, the U.S. Federal Reserve raised its target for the federal-funds rate by 25 basis points to 3.5%.

Royal Bank said the rates for its six-month open and convertible mortgages will increase by 0.05%,

Rates for longer-term mortgages will rise 0.10%.

Following the increases, the posted rate for Royal’s one-year closed mortgage will be 5.00%.

CIBC announced similar increases.