Macklem press conference: There was a strong consensus for a 25 bps cut

  • There was a strong consensus for a 25 bps cut
  • We did discuss scenarios where it would be appropriate to cut at a slower pace or by 50 basis points
  • If the economy was significantly weaker or inflation was significantly weaker, it could be appropriate to take a bigger step
  • We’re going to be taking decisions one at a time
  • Inflation is still above our target
  • We are expecting some pickup in growth but there are some downside risks

USD/CAD was trading at 1.3513 at the start of the press conference and the market was pricing in a 93% chance of another 25 bps cut in October.

This article was written by Adam Button at www.forexlive.com. Source