Created
: 2024.04.17
2024.04.17 21:27
Analysts at TD Securities think that the Bank of Canada (BoC) remains on track to start lowering the policy rate before the Federal Reserve (Fed) following the latest inflation data.
"Headline CPI edged higher to 2.9% y/y in March, in line with the market consensus, but details were considerably softer with further progress across the Bank of Canada's preferred measures of core inflation and inflation breadth. CPI-trim/median edged lower to 2.95% y/y on average, as another 0.1% m/m increase saw 3m core inflation rates fall to just 1.3%."
"Today's report provides the Bank of Canada with some additional evidence that recent inflation progress was sustained through March, but we would note the ex. food/energy aggregate saw a much stronger performance, and there is still the risk that recent progress is unwound in April. We do not think today's report is enough to lock in a June cut and still think July is the more likely start to the BoC's easing cycle, but today's report will add to the risk of an earlier move."
"The third consecutive miss for headline CPI weighed on CAD and leaves the Bank of Canada on track to start cutting comfortably before the Fed."
Created
: 2024.04.17
Last updated
: 2024.04.17
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy