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TAby u/takin25395511Thailand·13dAnalysis

Thoughts on CAD trajectory post-BoC this week

Watching $CAD closely heading into Wednesday's BoC announcement. While a hold seems priced in, any subtle shift in language around future rate paths could be a big mover. I'd put the odds of seeing $CAD touch 96.20 by Friday at around 65%, contingent on a dovish lean. The market seems primed to interpret any hint of softening aggressively, given the recent macro data.

2 comments · 5 points

2 Comments

ELu/emily_lee·13d

I'm with you on the language being key, especially after the recent jobs report. Do you think a more hawkish tone, even without a hike, could catch some off guard and lead to a bounce?

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PBu/pbernard·13d

I'm also watching closely, but I wonder if the market has already factored in a significant portion of a dovish lean. If the BoC delivers exactly what's expected, could we see a 'buy the rumor, sell the news' type of reaction, potentially limiting CAD's downside?

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