Canadian Economic data

I wrote earlier this week about GBPCAD breaking 1.70 and so it has passed. The pound remains under pressure and the Canadian economy will continue to be supported by their main trading partner the US. The Loonie and the Canadian economy have had a rough period with the economy there flagging under the pressure of the Alberta Oil Sands fires plus the knock on impact of this event on their economy. Expectations for the future are that the price of Oil could weaken further...

Yesterday was largely uneventful for the Canadian Dollar. Few data releases on either side of the Atlantic saw the situation in Greece dominating the relationship between most currency pairs. While the Greek delegation suddenly showed themselves to be more conciliatory in their run-up to their referendum on July 5th, offering new terms, and rumours that they were more open to accepting further cuts flourished. However, with nothing concrete announced, rates refused to move below or above 1.96 for GBP/CAD as no more capital flowed in...

Pound to Canadian Dollar exchange rates have experienced a wobbly beginning to the day as we wait for UK inflation data to be released this morning. Initially Asian trading brought in some issues and then when the baton was passed to European trading this morning when it opened the deflation on the exchange rates became much more visible. The reason why inflation data at the moment is having an exaggerated effect even before the news is released, can be explained with an assessment of recent Bank...

The Canadian Dollar has gained in value over the past few days against most major currency pairs, after some positive news for both Canada and Mexico has been announced regarding the impending US metals tariffs. US President, Donald Trump recently threatened to impose tariffs on metals imported into the US from all countries. His plans consist of a 25% tariff on steel imports and a 10% tariff on aluminium imports which would be very bad news for Canada which is why the currency lost value...

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...

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...

Those hoping the Pound would receive a boost this morning were left disappointed as this weeks key piece of economic data out of the UK failed to meet expectations. The data released this morning at 9.30am showed that the rate of Inflation has surprisingly dropped over the last month, and this has lowered the chances of an interest rate hike from the Bank of England. Many had expected to see the BoE look into raising rates in order to weather the negative effects on the UK...

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...

In recent months the Candadian dollar has been under severe pressure due to the ongoing NAFTA negotiations and in recent weeks the fall in global stock markets. A fall in global stock markets has meant that the price of oil has also fallen which has put pressure on the Canadian dollar as oil is Canada's most lucrative export. The Canadian dollar has now lost most of the gains created from the second half of 2017, due to the interest rate hikes from the Bank of...

When compared with the Canadian Dollar, the Pound isn't in as bad a position as it is when compared with the Euros for example. Since the Brexit vote last June the lowest the GBP/CAD rate has dropped is around 1.5850, and at the moment the Pound to Canadian Dollar rate is trading around 5-6 cents higher than level. The Pound has been fortunate not to fall back to those lower levels as this week the Pound to Euro rate has hit a new post-Brexit vote low,...