- Analytics
- News and Tools
- Market News
- USD/CAD to trend higher on the current situation – BBH
USD/CAD to trend higher on the current situation – BBH
USD/CAD is stabilizing around key technical support at 1.4300, BBH FX analysts note.
Trade conflict can badly hurt economic activity in Canada
“Bank of Canada (BOC) Governor Tiff Macklem reiterated overnight that a long-lasting and broad-based trade conflict would badly hurt economic activity in Canada and put direct upward pressure on inflation. This complicates the BOC’s job as monetary policy cannot lean against weaker output and higher inflation at the same time.”
“Canada’s January labor force survey is the domestic focus (1:30pm London). Consensus sees a 25k rise in jobs vs. 91k in December, while the unemployment rate is expected at 6.8% vs. 6.7% in December. Overall, the labor market remains soft and firms’ hiring intentions are muted.”
“Interest rate futures imply almost 75bps of BOC cuts over the next 12 months that should see the policy rate bottom at the lower end of the BOC’s neutral range estimate of 2.25% to 3.25%. Bottom line: FED/BOC policy trend, risk of all-out trade war between Canada and the US, and the Trump administration’s focus on lowering energy prices support a higher USD/CAD.”
© 2000-2025. 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.
