- Analytics
- News and Tools
- Market News
- CAD to see moderate recovery potential against the USD – Commerzbank
CAD to see moderate recovery potential against the USD – Commerzbank
Economists at Commerzbank maintain their outlook and see moderate CAD recovery potential in the medium term.
EUR/CAD to edge lower in the medium term
The CAD should benefit if, as we expect, the BoC keeps its key rate at a higher level for longer and cuts it less than the Fed. This would reduce the interest rate differential between the Fed and the BoC and it could turn positive in the medium term.
In the short term, EUR/CAD should reflect the fact that the ECB has ended its interest rate cycle, while the BoC could deliver another rate hike. In the medium term, however, the interim EUR strength we expect should be reflected. The key factor here is our economists' expectation that the ECB will not cut interest rates, contrary to current market expectations – a hawkish signal from which the Euro should benefit.
Source: Commerzbank Research
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
