USD/CAD eyes more downside to 1.3450 ahead of US inflation and BoC policy – by Sagar_Dua24 USDCAD BOC Fed Inflation DollarIndex
flation data as the Federal Reserve’s terminal rate is around the corner. The Loonie asset is expected to remain in action as the Bank of Canada will announce the interest rate decision ahead.
S&P500 futures have added nominal gains in early Asia after a choppy Tuesday, portraying further improvement in investors’ risk appetite. TheIndex has dropped after failing to extend its recovery above 102.30. The USD Index is likely to revert to its immediate support of 102.00 as Fed policymakers are cautioning about considering a more restrictive policy.
Chicago Fed President Austan Goolsbee has advised a cautious approach as the combination of tight credit conditions and further restrictive monetary policy can hit sectors and regions differently than if monetary policy was acting on its own.President Patrick Harker cited “I am keeping an eye on the data to see if more action on inflation is required.” He further added, “It can take up to 18 months for the full impact of monetary policy actions to be felt.
Going forward, the release of the US inflation data will be the key event. Analysts at Commerzbank expect “Statisticians are likely to report a drop in the inflation rate from 6.0% in February to 5.3% in March. However, the March decline is entirely due to the fact that prices are now being compared with those in March 2022, when energy prices in particular had already risen significantly due to the Ukraine war. While core inflation is expected to increase from 5.5% to 5.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
USD/CAD Price Analysis: Sings last prayer above 1.3500 despite BoC to announce an unchanged policyThe USD/CAD pair has turned sideways after a perpendicular decline move above the psychological resistance of 1.3500 in the early Tokyo session. The L
Read more »
USD/CAD attempts upside above 1.3520 ahead of US Inflation and Bank of Canada policyUSD/CAD is making efforts in shifting business above the immediate resistance of 1.3520 in the Asian session. The Loonie asset is gaining traction as
Read more »
USD/CAD Price Analysis: Grinds higher past 1.3500 within bear flagUSD/CAD picks up bids to pare intraday losses around 1.3510, after snapping four-day uptrend earlier in Asia. In doing so, the Loonie pair bounces off
Read more »
USD/CAD trades with modest losses below 1.3500 amid bullish Oil prices, subdued USDThe USD/CAD pair attracts some sellers near the 1.3520 region on Monday and snaps a four-day winning streak. The pair is currently placed just below t
Read more »
USD/CAD touches over one-week high, around 1.3550-55 area amid stronger USDThe USD/CAD pair attracts fresh buyers following an intraday dip to the 1.3485 region and turns positive for the fifth successive day on Monday. The i
Read more »
USD/CAD slides below 1.3500 as US Dollar retreats, Oil price rebounds amid cautious optimismUSD/CAD drops to 1.3490 as it renews intraday low during early Tuesday, extending the previous day’s pullback from a seven-day high. In doing so, the
Read more »