Bank of Canada

October 17, 2018

We are most used to thinking of financial repression as being applied by governments through a low-interest-rate policy, but as noted on June 2, 2015, for instance, another way is to require regulated entities to hold government debt. This sometimes has spectacular effects: A trio of Canadian banks ...

USD/CAD – Canadian dollar higher on stronger business optimism

The Canadian dollar has posted gains in the Tuesday session. Currently, USD/CAD is trading at 1.2950, down 0.31% on the day. On the release front, Canadian Foreign Securities was dismal, with a gain of just C$2.82 billion. This was much smaller than the estimate of C$10.05 billion. In the U.S, ther ...

USD/CAD Canadian Dollar Higher as BOC Business Survey Boosts Optimism

The Canadian dollar surged on Monday. The loonie is trading higher by 0.21 percent at 1.2992. The US dollar lost traction earlier in the session with the release of the US retails sales data for September. Core and headline US sales were lower than the forecast and the loonie was boosted the by the ...

USD/CAD – U.S retail sales dip but Canadian dollar yawns

The Canadian dollar is unchanged in the Monday session. Currently, USD/CAD is trading at 1.3014, down 0.05% on the day. On the release front, U.S retail sales were much softer than expected. Retail Sales posted a meager gain of 0.1%, shy of the estimate of 0.4%. Core Retail Sales surprised with a d ...

Geopolitical risks and yields dominate proceedings

Monday October 15: Five things the markets are talking about Following a weekend of warnings on global economic fragility from G10 finance leaders at an IMF meeting in Bali, has global equities starting this new week on the back foot, with regional bourses in Asia and Europe seeing red, while U.S e ...

Pound suffers on Brexit stalemate

  Pound pressured at start of the week Weekend news that the latest Brexit negotiations had hit yet another stalemate pressured the pound at this week’s open. UK’s Financial Times reported that PM May is said to call the current draft Brexit deal a “non-starter” and as a result EU leaders ...

US Retail Sales to Support Dollar


The US dollar was higher against major pairs on Friday, but not enough to end up the week on positive territory. A stock market rout took its toll on the greenback and the subsequent rebound in stock prices supported the currency ahead of the weekend. Strong US data and a clear interest rate hik ...

USD/CAD – Canadian dollar edges higher, U.S consumer confidence next

The Canadian dollar has edged higher in the Friday session, following the trend seen on Thursday. Currently, USD/CAD is trading at 1.3011, down 0.18% on the day. On the release front, there are no Canadian events on the schedule. In the U.S, today’s key indicator is UoM Consumer Sentiment, which ...

Dollar Loses Momentum as Stocks Drop Awaiting Inflation Data

The EUR/USD rose 0.42 percent on Wednesday. The single currency is trading at 1.1539. The surge was due to positive Brexit comments but was limited as Italian budget drama continues. As the deadline for a final divorce agreement between the UK and the EU nears there has been a lot of talk of gettin ...

Loonie Lower as USMCA High Fades

The Canadian dollar is lower on Wednesday. The loonie is lost 0.38 percent versus the USD as lower oil prices and higher US yields put downward pressure on the currency. The IMF did not cut the growth forecast for Canada, in fact mentioned that the USMCA might boost growth. The loonie has been rid ...