USD/CAD soars close to 1.3800 as BoC keeps interest rates unchanged at 5%

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USD/CAD soars close to 1.3800 as BoC keeps interest rates unchanged at 5%
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The USD/CAD pair as the Bank of Canada (BoC) has kept interest rates unchanged at 5%. BoC Governor Tiff Macklem announces a neutral interest rate deci

The USD/CAD pair jumps vertically to near 1.3800 as the BoC keeps interest rates steady at 5%. An interest rate decision from the BoC was widely anticipated. The oil price drops oil price as Israel’s ground assault in Gaza delays for safe dispatch of humanitarian aid. sion for the second time in a row. A neutral monetary policy announcement was widely anticipated by the BoC as inflation in Canada is consistently softening and labor market conditions are easing.

The release of the US Q3 Gross Domestic Product and core Personal Consumption Expenditure inflation for September could impact the interest rate decision by the Federal Reserve , which will be announced on November 1. As per the expectations, the US economy grew by 4.2% in the July-September quarter, almost double the growth rate registered in the same period in 2022. An upbeat GDP report could escalate hopes of one more interest rate increase from the Fed.

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