Previous Trading Days Events 06.07.2024

The Bank of Canada BoC kept its key overnight rate steady at 5 as expected saying underlying inflation is still high and no cuts are considered yet, causing the CAD to appreciate significantly at the time of the news release

Governor Tiff Macklem

We expect to see further progress but we think its going to be slow, its going to be uneven . Fundamentally, we need to see more progress, he told Reuters in an interview after the rate announcement.

Overall inflation stands at 2.9, still well above the banks 2 target. Shortly after the rate announcement, data showed that Canadian money markets now see a 23 chance of a rate cut in April, down from 43.

Source httpswww.reuters.commarketsbankcanadakeepsratesholdsaystooearlyconsidercut20240306

U.S. job openings fell marginally in January according to the JOLTS report, while the number of workers quitting their jobs dropped to a threeyear low, indicating that labour market conditions were gradually easing.

Federal Reserve Chair Jerome Powell presented the U.S. central banks semiannual Monetary Policy Report to lawmakers during that time of the release. Powell said policymakers expected inflation to come down, the economy to keep growing, but shied away from committing to any timetable for interest rate cuts.

A separate report from the Fed said labor market tightness eased further, in February, but noted that difficulties persisted attracting workers for highly skilled positions….