3 Dec 2014
USD/CAD turns to the downside after BoC
FXStreet (Córdoba) - The loonie rose across the board following the decision of the Bank of Canada to leave the overnight rate unchanged at 1%. USD/CAD dropped from 1.1385 to 1.1349 reaching a fresh daily low.
The pair remains near daily lows as the loonie consolidates gains in the market. The Canadian dollar is among the best performers on Monday, supported by BoC statement, economic data and the stabilization of crude oil prices.
According to the central bank the economy is showing signs of a broadening recovery, but “the lower profile for oil and certain other commodity prices will weigh on the Canadian economy”.
Regarding interest rates, the BoC reiterated the same exact message mentioned in the previous statements: “the balance of risks remains within the zone for which the current stance of monetary policy is appropriate and therefore the target for the overnight rate remains at 1 per cent.”
The pair remains near daily lows as the loonie consolidates gains in the market. The Canadian dollar is among the best performers on Monday, supported by BoC statement, economic data and the stabilization of crude oil prices.
According to the central bank the economy is showing signs of a broadening recovery, but “the lower profile for oil and certain other commodity prices will weigh on the Canadian economy”.
Regarding interest rates, the BoC reiterated the same exact message mentioned in the previous statements: “the balance of risks remains within the zone for which the current stance of monetary policy is appropriate and therefore the target for the overnight rate remains at 1 per cent.”