The George Davis Report: November 2021 Edition

By George Davis, CMT
Published November 15, 2021 | 6 min watch

A monthly video series on the trajectory of the Canadian dollar

Don’t miss this month’s edition of the George Davis Report, where George discusses changes to RBC’s interest rate forecast, a market repricing of interest rate expectations and the impact on the Canadian dollar.


What you need to know


The Canadian economy continues to heal post-COVID, with the job market recovering all of its pandemic losses.


Supply-chain disruptions are hampering growth activity amidst strong demand, leading to rising inflation expectations.


This caused the Bank of Canada to become more hawkish at their October meeting and Monetary Policy Report, bringing forward the expected closure of the output gap and raising their inflation forecasts.


More persistent inflation has caused the market to aggressively reprice central bank policy expectations relative to RBC Economics’ revised forecasts.


We believe that the extreme moves over the past few weeks are overdone and susceptible to a correction that would ultimately weigh on CAD into year end.

For the trading range:






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

George Davis, CMT

George Davis, CMT
Chief Technical Strategist, Fixed Income, Currencies & Commodities, RBC Capital Markets

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