Running hounds bay in Canada? (6)

I believe the answer is:

hudson

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'bay in canada?' is the definition.
'hudson' can be an answer for 'bay' (I've seen this before). I am not sure about the 'in canada?' bit.

'running hounds' is the wordplay.
'running' indicates an anagram.
'hounds' anagrammed gives 'HUDSON'.

Can you help me to learn more?

(Other definitions for hudson that I've seen before include "ROCK] a > banker" , "Large bay in Canada" , "NY river; Canadian Bay" , "navigator" , "did for Holmes" .)

I've seen this clue in The Hindu.

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