USD/CAD is buying and selling across the center of multi-week 1.3550-1.3800 vary, BBH FX analysts report.
USD/CAD regular as Canada Inflation holds
“Canada June CPI was largely according to consensus and argues towards further Financial institution of Canada charge cuts. Headline CPI printed 1.9% y/y vs. 1.7% in Might whereas core CPI (common of trim and median CPI) remained sticky at 3% y/y for a 3rd consecutive month.”
“The BOC is close to the top of its easing cycle, which is supportive of CAD. The swaps curve adjusted increased to suggest lower than 10% odds of a 25bps reduce on the subsequent July 30 assembly and 60% odds (vs. absolutely priced forward of the CPI information) of a closing 25bps reduce within the subsequent 12 months.”
