BOC meeting minutes: Agreed on need to wait for more clarity before firm conclusions

Forex Short News

The Bank of Canada meeting minutes from the July interest rate decision

  • Ahead of Bank of Canada’s July 30 rate announcement, some Governing Council members felt the Bank may already have provided enough support for the economy

  • Other Governing Council members felt further monetary policy support would likely be needed

  • There was some debate inside Governing Council about what monetary policy could do to support the economy through this period of upheaval

  • Governing Council agreed on the need to wait for more clarity before drawing firm conclusions

  • Governing Council agreed there were no signs that inflation expectations had become de-anchored

  • Governing Council felt that the fundamental rewiring of the global trading system could be inflationary for some time

  • Governing Council agreed that the degree of firmness in underlying inflation was an important consideration for the rate decision

  • Governing Council agreed spillovers from lower export demand into business investment, employment, and household spending had been limited

The USDCAD remains above its 100-bar moving average on the 4- hour chart at 1.37433, and below the 100-day moving average at 1.3778. Traders are looking for a shove outside of that narrow support and resistance target area (see video from earlier today below).

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This article was written by Greg Michalowski at investinglive.com.