Bank of Canada interest rate decision and the impact on GBPCAD rates
The Bank of Canada are due to be meeting later this evening to announce their latest interest rate decision.
The expectation is to keep interest rates on hold so I don't think we'll see any changes in monetary policy, however, the important part of the day will be the accompanying statement which will provide us with evidence as to why they have decided this month's policy.
The Canadian Dollar has been gradually improving against the Pound during the last few months but we could start to...
Will the Pound have a positive end to the week against the Canadian Dollar?
In the last few days the Canadian Dollar has improved against the Pound after the Bank of England decided to once again keep interest rates on hold. The split was 7-2 in favour of keeping rates the same which came as no surprise but the real surprise was a huge downgrading of the UK's growth forecasts for 2018.
Previously in February the forecast for this year was 1.8% but since then the forecast was now been changed to 1.4% and this caused a big sell...
NAFTA deal still far from sewn up
US threatens non-approval on NAFTA deal if there is no firm proposal in place in three weeks.
The North American Free Trade Agreement (NAFTA) is currently in the process of being renegotiated. NAFTA is a free trade deal between the Sates, Mexico and Canada. Trump has made very clear he is unhappy with the current deal and has called it "the worst trade deal in history."
The results of the new negotiations could have huge ramifications fro the Canadian Dollar, the US is Canada's largest trading partner. If...
CAD Forecast – Canadian GDP Figures Boost the CAD’S Value Further (Matthew Vassallo)
The CAD has found a new lease of life over recent weeks, with another positive move during Tuesday’s trading.
CAD/GBP rates have spiked by around a cent and a half, following the release of today’s attest Gross Domestic Product (GDP) figure.
Canada’s economy has grown by 0.4%, with the official figure coming in above the markets predicted result of 0.3%.
This healthy reading is the culmination of a run of strong economic data, which has helped to boost investor confidence in the Canadian economy over recent weeks.
This...
Canadian Dollar strengthen as oil edges higher, where to next for CAD exchange rates?
The Canadian Dollar has strengthened throughout today's trading session against most major currency pairs. The reasons for its gains can be put down to positive economic data along with strengthening commodity prices, which is important for the Canadian economy.
Oil is one of the major exports for Canada, so seeing the price of oil increase and therefore, the Canadian Dollar isn't unusual. The reasons for the boost to oils value can be put down to increased expectations of US sanctions on Iran. There has also...
Bank of Canada dovish which leads to Canadian Dollar weakness – NAFTA concerns starting...
We have seen further weakness for the Canadian Dollar during trading today following on from the Bank of Canada Governor Poloz offering a fairly dovish view on the economy in a speech last night.
The NAFTA agreement or more importantly the uncertainty behind it is starting to weigh heavily on business confidence in Canada, along with the continued strength of the U.S Dollar which is also leading to the Canadian Dollar weakening.
The rise for U.S treasury 2-year notes compared to Canadian 2-year notes is now...
Canadian bank due to keep interest rates on hold causing the Canadian Dollar to...
After having a good run the Canadian Dollar has started to fall against the Pound after an interest rate hike in Canada appears now to be less likely. Bank of Canada governor Stephen Poloz has suggested that any rate hike may not be coming in the near future.
Canadian inflation is currently close to a three year high at the moment and as high inflation is one of the key responsibilities for a central bank this would typically put pressure on a bank to consider...
Will GBPCAD break 1.80 this week?
The pound to Canadian dollar exchange rate has seen a big twist and turn lately as the market struggles to price into expectations the changes in sentiment towards both the Canadian dollar and the pound. The Canadian dollar has risen as investors feel a stronger and higher price of oil will boost the Canadian economy in the longer-term.
The pound has also struggled as investors step back from the high expectations that have been placed into the market relating to interest rates. The general belief...
What can we expect next for GBPCAD exchange rates?
The pound to Canadian dollar has changed dramatically in the last month principally as the Canadian dollar strengthens on the back of a much higher price of oil. The expectation is that the price of oil could rise even further in the coming weeks as investors strive to recalculate the overall values given new information on where this important commodity may go.
Canada's main export is oil which is why the value of the Loonie dollar is so heavily influenced by changes in the price...
Bank of Canada leave interest rates on hold
This afternoon the Bank of Canada left their interest rate on hold at 1.25%. At the press conference Governor Stephen Poloz seemed to be fairly upbeat as he confirmed interest rates could be hiked in the upcoming months as he expects a boost from increased foreign trade and higher wages in the upcoming months. However the Governor did announce that the uncertainty surrounding the NAFTA agreement is still a concern even though the prospects of a revamped NAFTA agreement looks more likely.
Earlier in the...
