{"id":100999,"date":"2017-01-19T11:30:08","date_gmt":"2017-01-19T16:30:08","guid":{"rendered":"http:\/\/countingpips.com\/?p=100999"},"modified":"2017-01-19T11:30:08","modified_gmt":"2017-01-19T16:30:08","slug":"usdcad-forex-analysis-bank-of-canada-chair-says-rate-cut-is-possible","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/01\/usdcad-forex-analysis-bank-of-canada-chair-says-rate-cut-is-possible\/","title":{"rendered":"USDCAD: Forex Analysis – Bank of Canada chair says rate cut is possible"},"content":{"rendered":"
January 19, 2017<\/div>
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By IFCMarkets<\/a><\/p>\n

Bank of Canada chair says rate cut is possible<\/strong><\/p>\n

Canadian dollar significantly fell against the US dollar after the recent Bank of Canada meeting that took place on Thursday January 18, 2017. Will USDCAD<\/a> continue advancing?<\/p>\n

Bank of Canada left the interest rate unchanged at 0.5%. But its president Stephen Poloz said the rate may be cut as Canadian economy needs the monetary support in case US revise the NAFTA agreement (North American Free Trade Agreement). Previously the newly elected US president Donald Trump said he will seek for dissolution of NAFTA trade agreement. Lower rate as a rule makes national currency weaken. Bank of Canada last cut interest rate in July 2015. The December inflation data will come out in Canada on Friday. We believe the tentative outlook is more or less positive for the Canadian dollar. If the forecast comes true, the growth may slow down slightly.<\/p>\n

\"Wheat\/RUB\"<\/p>\n

On the daily chart USDCAD: D1<\/b> is correcting up after the false break through its 200-day moving average. Further increase is possible in case the negative economic data come out in Canada and in case of dissolution of NAFTA treaty.<\/p>\n