The George Davis Report: October 2019 Edition

Published October 15, 2019 | 3 min watch

A monthly video series on the trajectory of the Canadian dollar

In this edition of the George Davis report, George discusses how RBC sees the evolution of the Bank of Canada’s neutral policy stance.

What you need to know

1

There are a number of geopolitical issues that have the potential to move financial markets

2

However, the Canadian dollar has seen a very limited reaction so far this year

3

A resilient domestic economy resulting in widening Canada-US interest rate differentials has been offset by lower oil prices and lingering trade uncertainty to keep USD/CAD in a trading range

4

The big question remains how long the Bank of Canada policy stance can diverge with that of the Fed

5

The upcoming Business Outlook Survey will serve as an important input for the outcome of the October interest rate decision

Hedging Strategies:

USD/CAD

Buyers

1.3000 – 1.3100

Sellers

1.3400 – 1.3500

This video is part of our monthly George Davis Report series, with ad hoc reports brought to you as current.

George Davis
Chief Technical Strategist, FX Trading, Strategy & Sales, RBC Capital Markets

With over 25 years of market experience, George Davis is responsible for RBC’s Canadian dollar forecasts as well as intermarket technical analysis research that covers the FX, fixed income and commodity asset classes. Prior to this, he was a Vice President on RBC’s spot Canadian dollar and forward foreign exchange desks in Toronto and a foreign exchange Dealer in Montreal.

His technical research has been recognized via seventeen international awards in the FX, fixed income, commodity and emerging markets asset classes. George was also awarded Technical Analyst of the Year five times (in 2010, 2013, 2017, 2018 and 2019) by the Technical Analyst magazine and in 2016 by the Canadian Society of Technical Analysts, in addition to being inducted into the CSTA Hall of Fame in 2017.

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