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CADCHF - RBNZ/BoC divergence ahead?
Interesting to watch $CADCHF here around 0.58433. We've seen some pretty hawkish talk from RBNZ lately, contrasting with a more cautious tone from BoC, especially given the latest employment numbers. Seems like the market hasn't fully priced in potential divergence yet. Is this simply consolidation before a leg down, or are we looking at a floor building around these levels? The range today, 0.58377–0.58487, isn't telling us much. Waiting for more clarity from upcoming CPI figures for both, that's likely the next big market mover.
1 comments · 6 points
I wouldn't get too carried away with RBNZ hawkishness; they've been prone to quick pivots before. The BoC's caution is probably more indicative of broader economic headwinds for CAD.