Post-Election FX Volatility Analysis
The months preceding an election frequently see heightened volatility in foreign exchange (FX) markets, but the turbulence often continues well beyond election day. Interestingly, market fluctuations tend to persist through the post-election period, right up until inauguration day. This transition phase, between the appointment of a president-elect and their official swearing-in, can have a notable
USD/CAD: Canadian Dollar Facing Challenges
The Canadian dollar is currently under significant pressure, with recent economic conditions and rate changes contributing to its weakened position against the U.S. dollar. The Canadian dollar continued its slide overnight but has shown a slight rebound in early New York trading. Much of the currency’s recent weakness stems from U.S. President Donald Trump’s “America
Dollar: The Engine of Iran’s Inflation
When comparing the price of the dollar and real estate over the past decade, we observe a significant increase in both markets. To get a closer look at these two markets, let’s consider a real example. In 2011, a residential property in a prime, luxury area of Tehran was sold for 10 million tomans per
Bank of Canada Rate Cut Expected to Boost Gas Demand and Prices, Analyst Predicts
What impact does Canada’s central bank have on gas prices? According to an industry expert, the larger rate cut announced by the Bank of Canada on Wednesday could lead to an increase in gas prices. “The drop in interest rates may sound like good news, but it will likely boost demand for gas as more
The Bank of Canada has implemented a more substantial rate cut, reducing the key interest rate by 0.5 percentage points for the first time since the pandemic.
The Bank of Canada’s decision on Wednesday to cut the interest rate by 50 basis points, bringing it down to 3.75%, marks a rate reduction twice as large as the previous cuts. The Bank of Canada has lowered its key interest rate to 3.75%, marking the first 50-basis-point cut since the onset of the COVID-19
The Bank of Canada reduces its key interest rate to 4.25%, attributing the decision to cooling inflation.
The Bank of Canada has implemented its third consecutive rate cut, reducing its key interest rate to 4.25% on Wednesday, citing the ongoing easing of inflation. While the move was largely expected by economists, the gradual pace of these cuts has raised questions about when the central bank might take more significant action. “If we
Canada’s inflation rate cooled to a 40-month low of 2.5% in July
Canada’s annual inflation rate dropped to a 40-month low of 2.5% in July, aligning with forecasts, while core inflation measures also eased, according to data released on Tuesday. This development supports expectations that the Bank of Canada may cut interest rates again in September. Analysts surveyed by Reuters had predicted a decrease in inflation to
USD/CAD outlook
The USD/CAD exchange rate, which reflects the value of the US dollar against the Canadian dollar, is influenced by a variety of economic factors and geopolitical events. This article will explore the forecast for the USD/CAD exchange rate from September 2024 to December 2025, analyzing trends, key indicators, and potential scenarios that could impact the
Most US Federal Reserve officials indicated their readiness to lower interest rates in September.
The July meeting minutes reveal that a “vast majority” of policymakers considered it “appropriate” to lower borrowing costs. Last month, Federal Reserve officials indicated their readiness to begin cutting interest rates at their September meeting due to slowing job growth and easing inflation. Minutes from their July meeting, released on Wednesday, showed that the “vast
Major banks are lowering their interest rate forecasts
The intense volatility in global financial markets over the past week is swiftly affecting Canadian interest rate forecasts, causing them to drop like autumn leaves in a strong wind. TD, CIBC, and BMO have taken the lead with their revised forecasts, all now anticipating that the Bank of Canada will reduce interest rates more quickly