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Forex Today: Bank of Canada rate cut expected

Forex Today: Bank of Canada rate cut expected

The Bank of Canada is expected to cut its overnight rate from 4.75% to 4.50% today.

➡️ The Bank of Canada will hold a policy meeting today. Markets expect the bank to cut its overnight rate by 0.25% to 4.50%The bank's rate statement and monetary policy report will be carefully analyzed.

➡️ The Indian rupee briefly traded at a new all-time low against the US dollar yesterday, after closing at a record low last Friday. The rupee is still at risk of falling to a new low, so the currency pair USD/INR will be in the spotlight today.

➡️ In the Forex market, after a day of relatively little price movement, the US dollar has penetrated a strong resistance zone starting at 103.92. This suggests that the dollar is more likely to move higher in the near term. Since the Tokyo open today, the Australian dollar has been the weakest major currency in the Forex market, while the Japanese yen has been the strongest., highlighting the AUD/JPY currency pair .

➡️ Vice President Kamala Harris has secured promises of enough convention delegates from President Biden to win the Democratic Party nomination for president after President Biden withdrew from the race. A poll was released yesterday showing her ahead of President Trump for the first time, but betting markets still suggest Harris has only a 38% chance of beating President Trump in the November general election.

➡️ Asian stock markets are slightly lower today, with the Chinese index HSI and the Japanese Nikkei 225 Index which look set to close lower. Futures on major U.S. stock indexes are also losing ground.

➡️ Flash Services & Manufacturing PMI data for the U.S., U.K., Germany, and France will be released today. 

 

Credit by DailyForex.com

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