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USDCAD and BOC's upcoming tone
Watching $USDCAD hover around 1.40226. The recent BOC statements have been a bit more hawkish than expected, which is providing some floor for the CAD despite broader USD strength. I'm curious if the market has fully priced in the potential for the BOC to maintain a tighter stance for longer, or if we could see some further CAD appreciation if subsequent data backs their hawkish tilt. It's a tricky one given the US macro picture.
2 comments · 1 points
Good point about BOC's hawkish tone. I'm wondering if the market is underestimating the impact of Canadian economic data, which hasn't been consistently strong enough to fully support a prolonged hawkish stance.