FXStreet (Edinburgh) – In light of today’s BoC meeting, Senior Currency Strategist Jane Foley At Rabobank, sees the pair re-visiting the 1.2500 handle in the next months.
Key Quotes
“While Poloz’s upbeat tone in recent months was a factor behind the appreciation of the CAD vs. the USD in April and early May, the direction of the oil prices continues to have a strong impact on USD/CAD”.
“Despite the recovery from its low, oil prices are likely to be hinder by supply going forward and we expect that this will weigh on the CAD”.
“Also, now that hefty short CAD positions have been shaken out, the CAD will be more vulnerable to bad news in the weeks ahead”.
“We expect USD/CAD to be bias higher towards the 1.25 area in the coming months”.
(Market News Provided by FXstreet)