The The Bank of Canada raised interest rates by 25 basis points at its monetary policy meeting on Wednesday, putting them at 0.50%., as expected. The BoC announced that further increases may be required and said it would continue with the reinvestment phase of its balance sheet, keeping its overall holdings of Canadian government bonds […]
Tag: BOC
When is the BoC’s monetary policy decision and how could it affect USD/CAD?
BoC Monetary Policy Decision: Overview The Bank of Canada (BoC) is expected to announces its monetary policy decision this Wednesday at 15:00 GMT and is expected to raise its benchmark interest rate by 25 bps to 0.50%. This would mark the first rate hike since October 2018 and the beginning of the tightening cycle amid […]
USD/CAD holds above 1.2700 ahead of BoC and Russia-Ukraine talks
USD/CAD sees some selling on Wednesday and gives back some of the previous day’s strong gains. Bullish crude oil prices benefit the CAD and put some downward pressure on the pair. The decline appears supported amid broad USD strength and ahead of the BoC decision. The pair USD/CAD moves lower during the first half of […]
USD/CAD rises over 100 pips, pushes to head towards 1.2800 after US/Canada data
USD/CAD rose to fresh weekly highs near 1.2800, 100 pips above previous lows on Friday. The catalyst for the move higher was weak Canadian/US labor market data. The USD/CAD received a double whammy of bullish momentum on Friday in the form of much stronger-than-expected US labor market data (USD bullish) and much weaker-than-expected Canadian labor […]
USD/CAD returns below 1.2700 amid rising oil prices
USD/CAD fell from previous highs above 1.2700 as oil prices have advanced. Thursday’s US data dump didn’t have much of an impact on the FX market as the focus shifts to Friday’s US and Canadian jobs reports. Analysts have become more bearish on USD/CAD of late, according to the latest Reuters poll. The USD/CAD has […]
USD/CAD remains well supported just above the 200 DMA at 1.2500
USD/CAD remains well supported above the 200 DMA at 1.2500 as risk aversion flows cap the Canadian dollar higher. Weak Canadian Retail Sales data and the New Home Price Index have not moved the loonie. Markets are focused on next week’s Fed and BoC meetings. The USD / CAD has remained well supported above its […]
USD/CAD bounces off 1.2500 amid reduced US holiday trading.
USD/CAD is trading at 1.2520, having rebounded from a test of 1.2500 before the BOS release. Trading conditions have been tentative thus far with US markets closed for MLK Day. The USD / CAD it recently bounced off 1.2500, a level that coincides with the pair’s 200-day moving average, and traded back at 1.2525, losing […]
USD / CAD bankrupt 1.2800 and looks to November highs at 1.2850
USD / CAD has been pushing higher as the general risk appetite worsens. The pair, which is now above 1.2800, is also being pushed higher as the dollar strengthens ahead of the Fed. USD / CAD spiked higher on Monday and recently moved above the 1.2800 level, hitting a seven-day high at 1.2820 after starting […]
USD / CAD Rises Above 1.2700 Again As Oil Prices Pull Back
USD / CAD recovered above 1.2700 on Thursday as oil prices came under selling pressure. The BoC’s Gravelle spoke up and largely clung to the central bank script. The pair USD / CAD has moved higher on Thursday, gaining about 0.50% on the day to climb back above the 1.2700 level. That marks a 0.9% […]
Gravelle warns that inflationary pressures could last longer than expected
In a speech Thursday, the Deputy Governor of the Bank of Canada, Toni Gravelle has warned that supply disruptions and related cost pressures could last longer than expected, increasing the likelihood that CPI consumer price inflation will remain above the central bank’s control range., as reported by Reuters. This could fuel inflation expectations and contribute […]