A potential rate cut by the Bank of Canada this week risks undermining confidence in the Canadian dollar, some prominent Canadian economists have warned. Never before has the loonie fallen so far, so fast, against the U.S. dollar as over the past two years. “Currency instability has become a concern, and we think the Bank of Canada must take note,” National Bank Financial chief economist Stéfane Marion said in a report on Monday. “In our view, the Bank of Canada would be better to keep its powder dry this month and act, if need be, after the next federal budget when it will be better able to assess fiscal support to t ... (full story)