The Canadian dollar continued to decline today, falling for the forth straight day in the longest stretch of losses since October, as the slowing inflation caused the speculation that Canada’s central bank would keep the interest rates unchanged.
The consumer prices in Canada rose 2.0 percent in the 12 months to November, following the 2.4 percent increase in October. The median forecast promised the increase by 2.2 percent. The retail sales increased for the fifth consecutive month, rising 0.8 percent in October, following the 0.4 percent increase in September.
The Bank of Canada kept its target interest rate unchanged at 1 percent on December 7th for the second consecutive time, following three increases, to asses the global economic growth. Considering the mixed macroeconomic data, the policy makers may keep the rates at the same level for the third time when they’ll meet on January 18th.
USD/CAD traded at 1.0172 as of 17:04 GMT after it opened at 1.0166 and jumped to the intraday high of 1.0206. EUR/CAD traded at about 1.3358, near its opening price of 1.3346, following the advance to 1.3435.
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