News

The market is pricing just one rate cut, on the other hand. The BoC has already cut quite aggressively and even delivered some insurance cuts for the trade war.

The underlying inflation rate in Canada has been rising steadily since last December and with the aggressive monetary easing and easing in trade war tensions, we could see upward pressure on inflation to remain.

This is what led the market to price out the second rate cut and if the economic activity picks up, we could see the market price out the remaining rate cut bets.

This week we have the BoC rate decision and a hold is widely expected. I would also expect the central bank to sound more hawkish in light of the recent setback on inflation.

This article was written by Giuseppe Dellamotta at www.forexlive.com.

As shown on the EUR/USD chart today, the euro rose to a 4-week high against the US dollar this morning. The euro’s strength relative to the US dollar is supported by traders’ expectations ahead of the ECB’s interest rate decision, scheduled for Thursday at 15:15 GMT+3. This upcoming event is notable not only because the […]

The post EUR/USD Rises to 4-Week High appeared first on Action Forex.

That as confirmed by a spokesperson for the European Commission. Well, we’ll see how things go after that next meet. I wouldn’t hold my breath expecting for anything substantial though. It has taken so long for both sides just to start to sit down and really talk. So, it will be quite wishful thinking to expect any major breakthroughs in the coming one to two weeks.

Tick tock, tick tock. 37 days to go.

This article was written by Justin Low at www.forexlive.com.

The meeting will be held in Paris. As a reminder, Trump recently threatened a 50% tariff on EU to force them to accelerate trade talks and then “paused” the tariff till the original deadline on July 9th.

More recently, Trump hiked tariffs on steel to 50% and the European Commission said on Saturday that the EU was prepared to retaliate against tariffs on imported steel and aluminum.

An EU spokesperson said that “the European Commission is currently finalising consultations on
expanded countermeasures. If no mutually acceptable solution is reached,
both existing and additional EU measures will automatically take effect
on 14 July”.

This article was written by Giuseppe Dellamotta at www.forexlive.com.