MNI BRIEF: New Powers For UK Fiscal Body As Spending Overshot

MNI China Daily Summary: Monday, July 29

MNI: China CFETS Yuan Index Up 0.15% In Week of Jul 26

MNI: PBOC Net Injects CNY243.37 Bln via OMO Monday

MNI: PBOC Sets Yuan Parity Higher At 7.1316 Mon; -1.56% Y/Y

CHINA PBOC CONDUCTS CNY301.57 BILLION VIA 7-DAY REVERSE REPOS MON

EZ/UK T-Bill Calendar: Belgium Nov 7, 2024 Short TC Due Tuesday

EZ/UK Bond Supply Calendar: Italy, UK Auction on Tuesday

BoE Data Watch

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Scotia Sees Stage Set For 25bp Hike From BoC

CANADA
  • Scotia Economics expects a 25bps rate hike at tomorrow's meeting accompanied by continued guidance that leaves the door open to further tightening by largely retaining something either identical or very similar to the final paragraph’s guidance in recent statements.
  • If the BoC does not hike this week, then the effect of hawkish guidance on the front-end of the Canada rates curve is likely to be tantamount to a hike as an imperfect substitute toward buying time into July.
  • The BoC has been fairly clear that its conditional hold since January relied upon developments conforming to its expectations. That clearly has not been the case and the BoC faces no need to have to further set up a hike this week.
  • If markets haven’t gotten the memo by now, then another month spent hammering away at the same themes won’t matter. This is also why the decision does not need to be delivered by the Governor himself since he has basically already primed the path in advance.
  • Decisive action should have already been delivered, but further delay until July only to disappear for August holidays would lose precious time to send a concrete message.
HomepageBulletMarketsFixed Income BulletsForeign Exchange BulletsCanada Bank of Canada Market News

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.