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Forex Today: Bank of Canada is expected to keep rates at 5%

Forex Today: Bank of Canada is expected to keep rates at 5%

The Bank of Canada will hold a policy meeting today, where it is expected to keep its overnight rate at 5%.

➡️ The Bank of Canada will hold a policy meeting today. It is widely expected that he will decide to keep the interest rate at 5%, but the statement will be carefully scrutinized for politics.

➡️ Yesterday's slightly hawkish comments from the Bank of Japan's policy meeting on the certainty of reaching its price projections produced some firmness in the Japanese yen. Japan's 10-year sovereign bond yield briefly rose above 0.10%. L' Nikkei 225 index  it continued to fall from its recent 34-year high.

➡️ In after-hours futures trading, the two major U.S. stock indexes,  the NASDAQ 100  and the benchmark S&P 500, are rising to new all-time highs. Trend traders and investors will look to get involved here on the Long side. Historical precedent suggests that the S&P 500 Index will produce a return of approximately 13% over the course of the year.

➡️ Despite reaching a long-term high in almost 2 weeks,  Bitcoin  it continued to fall, and is now below the big round number of $ 40,000.

➡️ In the Forex market, the Japanese yen has been the strongest major currency since Tokyo opened today. The Australian dollar was the weakest. Increased volatility has recently been observed in the currency pair USD/JPY  .

➡️ New Zealand CPI (inflation) data yesterday met expectations with an increase of 0.5% month-on-month.

➡️ Cocoa futures  reached a new multi-year high price yesterday, which will keep trend traders interested in this commodity on the Long side. It has been showing a powerful bullish trend for more than a year now.

➡️ Flash Manufacturing and Services PMI data will be released next for the US, Germany, the UK and France.

 

Credit by DailyForex.com

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