FXstreet.com (Barcelona) - CAD is rising against the USD after BoC report which didn't contain immediate measures about quantative easing or credit conditions. USD/CAD has fallen around 140 pips from 1.2380, break 1.2330 support and reach to 1.2238, intra-day low. Currently the pair is trading around 1.2275/85 after falling 0.90% so far today from 1.2392 opening price.
Valeria Bednarik, FXstreet.com collaborator, comments related to the BoC report: The Bank of Canada present their monetary policy report, announcing additional easing measures, but providing a framework for possible credit and quantitative easing steps and a broad indication of how it would proceed, but emphasizing the need for prudence in the scale of its market interventions. This lead for an unwind of positions in the USD/CAD as market was expecting a more aggressive strategy coming from BOC, after cutting their benchmark overnight rate to an historical low of .25%.
Valeria concludes: The pair fell as low as 1.2275 before some upside correction, yet general perspective remains bearish as daily charts formation suggest so, and the pair is unable to regain the key 1.2410/40 zone.
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