AUD/CAD

The dollar is offered. Neither the 227k rise in nonfarm payrolls, nor the above 3% Q4 growth that the Atlanta Fed sees the economy tracking, or the uptick in November CPI expected to be reported on Wednesday has been sufficient to dampen speculation of a rate cut next week. The futures market has a nearly 88% chance discounted. The antipodean currencies and ...

Expectations for interest rate cuts in Canada continue looking into 2025, with a 50-basis point (bps) rate cut this week priced at 85 per cent. But the pace is expected to slow with less than three more 25-bps rate cuts in 2025. The primary catalyst is the weakening labour market outlook and to some degree a rebound in inflation risks. We maintain that the ...