The Canadian dollar jumped today against its US counterpart and trimmed losses versus the euro after the policy meeting of the Canadian central bank. At the same time, the currency declined against the Japanese yen.
Mark Carney led his last meeting as Bank of Canada President and made no surprise moves. The main interest rate remained at 1 percent. Such decision was expected by Forex market participants.
The BoC stated that “global economic growth has evolved largely as anticipated”. Regarding the Canadian economy, the central bank said that “growth in the first quarter was stronger than the Bank projected in April”. The BoC predicted that interest rates will be stable for some and, followed by an interest rate hike later.
USD/CAD sank from 1.0395 to 1.0347 as of 21:52 GMT today, following the rally to 1.0419 — the highest rate since June 5. EUR/CAD traded at 1.3392 after climbing from 1.3364 to 1.3482 — the strongest price since April 17. Meanwhile, CAD/JPY declined from 98.41 to 97.65 and its daily low was at 97.01.
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