Quote:
Originally Posted by OMG!WTF!
I think a rate hike has already been priced in. Everyone is expecting a hike so CAD has already reacted to that. So I don't see a big reaction if we do get a hike. But I suspect if we don't see a hike it will hurt cad.
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Agreed, there's probably more risk to the downside. As of this morning a rate hike is 75% priced in. As we move closer to July 12th, all else being equal the CAD should appreciate as these expectations solidify. That said in the lower probability event that the BoC doesn't hike than, the CAD would likely depreciate much more than it would appreciate from this point if they do hike.
*This opinion is merely for entertainment purposes only and should not be mistaken as actual analysis or advice