-
Why USDCAD Could U-Turn on Bank of Canada Announcement
Of all the major currencies, the Canadian dollar performed the best in these first few days of 2019. Between January 2nd and January 8th, USD/CAD dropped 2.5%, giving up a third of the past 2 months gains. A strong labor market, decline in the U.S. dollar, recovery in risk and rebound in oil prices all played a role in the pair’s steep decline but the move could come to a screeching halt after tomorrow’s Bank of Canada’s monetary policy announcement. Although economists do not expect the central bank to raise interest rates, the recent performance of the currency tells us that a number of investors expect the ... (full story)