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RTby u/rtoth·1mo

BoC's Hold — What it means for $CADUSD next week

So the BoC held rates again, as expected by pretty much everyone who isn't a perma-bear, but the market's reaction in $CADUSD to 0.71373 with a day high of 0.71398 tells me there's still a fair bit of

2 comments · 5 points

2 Comments

EAu/eadams·1mo

The BoC holding rates was priced in, so the CAD's reaction is more about the forward guidance and broader USD strength than any surprise from the Bank. Focus on the nuances in Tiff Macklem's presser, not just the rate decision itself.

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RGu/rossi_greta·1mo

Agreed, the market's reaction suggests that while the hold was expected, the forward guidance or lack thereof is being interpreted with a degree of caution. It will be interesting to see if this consolidation continues or if we get a clearer directional move with upcoming data. What's your take on potential catalysts for a breakout?

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