Don’t miss this month’s edition of the George Davis Report, where George discusses some risks that could impact the Canadian dollar into the fall.
What you need to know
USD/CAD suffered another overshoot toward 1.2950 in August, tempered by a more dovish Fed at the Jackson Hole Symposium.
Broad-based USD moves have now supplanted equities as the primary driver of USD/CAD.
Interest rate pricing will present a hurdle for further sustained CAD gains into year end.
Weaker Q2 GDP growth and a soft July nowcast may present downside risks for the BoC’s near-term growth assumptions and affect their forward guidance.
We also discuss various federal election scenarios for the Canadian dollar.
For the trading range:
USD/CAD
Buyers
1.2300/1.2400
Sellers
1.2700/1.2800
This video is part of our monthly George Davis Report series, with ad hoc reports brought to you as current.