The United States will publish ISM manufacturing PMI on April 1, at 17:00 MT time.
Will the BOC bring a challenge to the CAD traders?
Information is not investment advice
The Bank of Canada (BOC) will release its rate statement alongside the monetary policy report during its meeting on January 22 at 17:00 MT time.
The rate statement is the necessary element of a monetary policy conducted by the central bank in the country. It contains the interest rate, which is the interest of borrowing funds by the major financial institutions. The Bank of Canada set its interest rate at 1.75% and is forecast to keep it unchanged during the upcoming meeting. The main focus of the market will be on the statement, which will provide the projections for the economic conditions of Canada and make investors think about the future changes to the interest rate. The recent data brought relief to the CAD bulls: the unemployment rate fell to 5.6%, while the inflation levels remain high enough to shrug off the doves. Will we see some kind of surprise during the meeting?
• If the BOC is hawkish, the CAD will rise;
• If the BOC is dovish, the CAD will fall.
Canada will publish the monthly GDP growth on Tuesday, at 15:30 MT time.
The British pound has increased in value over the course of the past week in line with an ongoing improvement in investor sentiment.
The country has come through the worst and is recovering now.
Moody’s downgraded the country to ‘junk’ status on Friday.
The US economy has been hit hard by the coronavirus outbreak.