Forex Investment and Currency Trading

The Bank of Canada’s updated economic forecast is in line with market outlook. Market expects the economy to grow by 1.6% this year and 2.3% in 2009. The view remains that Canada’s trade sector will be the main impediment to growth as a result of the weaker U.S. economy and the high level of the Canadian [...]

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The Fed and the Bank of Canada appear to have shifted into data-watching mode following the 25 basis-point ease in the United States and the Bank of Canada’s 50 basis-point slice to the overnight rate in April. The Fed’s policy statement suggested that committee members view the cumulative 325 basis points of easing plus non [...]

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Economic Fundamentals versus Rhetoric
-There is an interesting contrast in the report between the economic assessment and the forward-looking aspects of the statement. The economic, inflation, and credit crunch outlook are all rather dreary, yet the Bank of Canada then waffles a little on the nature of further cuts. Why is this?
-The BoC downgraded its Canadian [...]

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