#The Bank Of Canada

Volatility Here To Stay, Rate Hike Path Still Uncertain

Volatility here to stay as rate hike path still uncertain. While the Bank of Canada and the U.S. Federal Reserve didn’t hike interest rates in the latest meetings, both central banks signaled that higher rates are coming. Priya Misra, Head of Global Rates Strategy at TD Securities explains why that may mean more market volatility ahead.
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Bank of Canada Warns of Interest Rate Hikes Coming

The Bank of Canada is keeping its key interest rate target on hold at 0.25 per cent, but warning it won’t stay there for much longer. The trendsetting rate has been at its rock−bottom level since March 2020 during the first wave of the COVID−19 pandemic as the economy went into a downturn and three million jobs were lost.
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Stocks Wobble in First Hour Friday

Equity markets in Canada opened lower on Friday as the prospect of faster rate hikes by the Bank of Canada and the U.S. Federal Reserve weighed on metal prices, pulling down major mining stocks. The S&P/TSX Composite descended 58.01 points to begin Friday at 20,486.10. The Canadian dollar shed 0.14...

Central Banks Turn Hawkish

Both the Bank of Canada and the U.S. Federal Reserve held their policy meetings this week, leaving rates unchanged but sounding increasingly hawkish. The Bank of Canada held its target for the overnight rate at the effective lower bound of 0.25%. In its Monetary Policy Report, Canada’s central bank announced...

USD/CAD - Canadian Dollar Swamped by FOMC

- Oil price surge ignored by Canadian dollar traders. USDCAD Snapshot: Open 1.26702-06, Overnight Range-1.2659-1.2725, previous close 1.2668, WTI open $87.31, Gold open $1811.33. The Canadian dollar took it on the chin yesterday after the Bank of Canada left interest rates unchanged. USDCAD soared to 1.2645 from 1.2560 on the...

Rise in interest rates | Do not panic

The wait-and-see attitude of the Bank of Canada, which on Wednesday preferred to delay until March before announcing a first interest rate hike, surprised many. However, this decision will make it possible to align the refocusing of Canadian monetary policy with that of the United States, where the Federal Reserve also announced that the first interest rate hike in two years would be decreed next March.

Stocks End Wild Session in Red

Thursday proved another day of wild swings on stock markets throughout North America, with the “ride” ending in negative positions on major markets. The S&P/TSX Composite ended Thursday down 51.78 points, to 20,544.11. The Canadian dollar shed 0.55 cents at 78.46 cents U.S. Gold stocks took a hit,...

Futures Fall on Rate Hike Uncertainty

Futures for Canada's main stock index sank on Friday as the prospect of faster rate hikes by the Bank of Canada and the U.S. Federal Reserve weighed on gold and technology stocks. The S&P/TSX Composite ended Thursday down 51.78 points to 20,544.11. The Canadian dollar dipped 0.27 cents to 78.18...

Making sense of the markets this week: January 30

Stocks continue to sell off lead by the more-expensive tech stocks. And leading the tech rout are the tech stocks with no earnings or those that are “earnings challenged.” You find many of those companies in the once high-flying ARKK Innovation ETF. “ARKK has sunk,” goes the recent narrative.

USD/CAD Rallies Toward Monthly High Ahead of US PCE Report

USD/CAD trades to a fresh weekly high (1.2743) as the Bank of Canada (BoC) sticks to the sidelines at its first meeting for 2022, and fresh data prints coming out of the US economy may push the exchange rate towards the monthly high (1.2814) as inflation is expected to increase for the fourth consecutive month.

Canadian DB plans prove nimble with fourth-quarter performance

Canadian defined benefit plans posted positive returns in the fourth quarter, thanks to a rebound in global equity markets, following a sluggish third quarter, data from Northern Trust show. The median Canadian DB plan returned 3.8% for the quarter ended Dec. 31, according to the Northern Trust Canada Universe, well...

Advisors should stick with their strategies amid volatility

Just as central banks stood pat on Wednesday by not raising their policy rates, so too should advisors when it comes to their strategies for clients, market experts suggest. To many people’s surprise, both the Bank of Canada and the Federal Reserve chose not to raise rates this week despite inflation levels not seen in more than three decades. The Bank of Canada decided to leave the target for its overnight rate at 0.25%, while the Federal Reserve held its target at 0% to 0.25%.

Opinion: Where's the hike? Why didn't the Bank of Canada act?

Steve Ambler and Jeremy Kronick, Special to Financial Post. In a surprise move, the Bank of Canada kept its overnight rate target steady at 25 basis points Wednesday. Markets had already priced in a rate increase by the time the announcement was made, so there was ample cover to make this the first post-pandemic increase. That didn’t happen. With inflation rising at home and abroad, we believe this was a missed opportunity.