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MS sql database slow performance issue suddenly in peak hour

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When CPU usage is high about 85%, same query performs slow in Production database, and all of the query start performing slow. When i update statistics using exec sp_updatestats in production database , all the query performs well like back to normal state. Could you please suggest is it the good way to do ? Could you please suggest permanent solution for this?Even in same transaction, we have not faced these issue previously.

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