MNI BRIEF: Japan Oct Core CPI Rises 2.3%, Services Rise

FED'S SCHMID - WE STILL HAVEN'T BEAT INFLATION BACK TO 2%

MNI BRIEF: Fed Should Explore Central Clearing At SRF-Hammack

MNI China Daily Summary: Thursday, November 21

MNI BRIEF: China To Enhance Support For Foreign Trade - MOFCOM

MNI: UK NOV GFK CONSUMER CONFIDENCE INDEX -18

MNI JAPAN OCT CORE CPI +2.3% Y/Y; SEPT +2.4%

MNI: FED BALANCE SHEET TOTAL ASSETS -$43B TO $6.924T IN WEEK

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

MNI EXCLUSIVE: German Turmoil Dashes EU's Joint-Funding Hopes -Officials

FED: Powell's Time Looks Up, Replacement Could Be Less Willing To Cut Rates?

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

US CPI Still Setting Tone For CAD Rates, Not The BoC's Decision

CANADA
  • BoC-dated OIS showing very roughly 14bp of cumulative cuts for June from 17bp before the decision and 20bp before US CPI but it’s still volatile.
  • However, CAD FI is broadly keeping to relative levels seen after the US CPI-induced sell-off.
  • 2Y GoC yields have lifted 2.7bps since the BOC decision but it’s vs 3.2bps for Tsys - the Can-US differential is at -63bps for lowest levels since Mar 2023.
  • USDCAD starting to see a bit more of dip though, now at 1.3644 off 1.3678 just prior to the BoC decision having pushed above resistance at 1.3661 (Nov 27, 2023 high). Next resistance is seen at 1.3729 (Nov 22, 2023 high).
  • The presser opening statement welcomes the recent moderation in inflation but needs to see more: “we are seeing what we need to see, but we need to see it for longer”.
  • The 2024 CPI forecast was revised down from 2.8% to 2.6% - there was scope for a little lower with Bloomberg consensus at 2.5%.
Homepagemarkets-real-timeBulletMarketsFixed Income BulletsForeign Exchange Bullets 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.