CA - Bank Of Canada Preview: Why The BoC Could Open The Door To A June Rate Cut
2024-04-06 02:00:00 ET
Summary
- Inflation is converging on target and labour market slack is increasing, but for now, Canada’s central bank remains wary.
- Nonetheless, it doesn’t want to cause a recession and we expect the BoC to open the door to a possible June rate cut.
- In a scenario where US data gradually weakens and the BoC sounds more dovish than the Fed before the 1 May FOMC meeting, the Canadian dollar should emerge as an underperformer in the G10 space.
By James Knightley , Chief International Economist and Francesco Pesole , FX Strategist ...
Bank Of Canada Preview: Why The BoC Could Open The Door To A June Rate Cut