Sticky Registration Sticky Customer Support

Weekly Currency Update

Get access to our expert weekly market analysis and discover and track your currency pair using our exchange rate tools.

External Influences Continue To Dominate CAD Sentiment; Boc Ahead

External Influences Continue To Dominate CAD Sentiment; Boc Ahead

  • On the surface, the CAD had a bad week last week, with external issues continuing to dominate sentiment and currency movement. The USD's recent gains above the recent range peaks at 1.2790/00 correspond to a poorer outlook for the CAD in the immediate term, and broader market worries signal that the CAD's upside potential is fairly restricted for the foreseeable future. Last week, the fair value estimate for the loonie fell dramatically, suggesting that the jump in volatility index from the stock market drop continues to exert a strong influence over the CAD’s performance.

The week ahead:

  • The week ahead is chock-full of data from Canada and the United States, but the focus on the domestic front will be the Bank of Canada's policy announcement on Wednesday. Although this is a "policy statement only" release (no press conference or MPR), Governor Macklem will present the Economic Progress Report the next day to provide some further context for the BoC's decision. Markets are pricing in a 25-basis point hike on Wednesday, and while other pricing measures suggest a higher risk, 1/4-point movements are expected to characterize a "deliberate" approach to what policymakers have described as a significant shift in the Bank's monetary policy settings going ahead. The policy statement (or the governor’s speech) may provide more insight into the plans over the coming months.
  • We believe the statement will be hawkish, but with a 1/4-point hike already priced in and markets expecting a succession of rate hikes throughout the year, there is little room for the Bank to go much further than market expectations. It should, however, emphasize the direct economic threats that Russia and Ukraine face, as well as the potential for inflation to rise as a result of rising oil, metals, and agricultural costs.
  • USD/CAD currency range for the week 1.2650 – 1.2950

Currency Chart

Get access to our market experts and sign up to receive the latest updates on any currency with our real-time exchange rate reports.

Sign up to receive the latest market news from our experts.

Daily Currency Updates
Daily Market Analysis
Get daily intelligence and currency reports directly to your inbox.
Weekly FX Technical Analysis
Weekly Technical Analysis
Get our weekly technical analysis providing valuable insights.
Monthly Currency Outlook
Monthly Currency Outlook
Receive our monthly currency report and help improve your forecasts.

By entering your email address you agree to the MTFX Terms Of Use and MTFX Privacy Policy and agree and agree to receive sales and marketing communications. Unsubscribe at anytime.

FAQs

Individuals and businesses who need to send money in foreign currency internationally can use MTFX’s services. The beneficiary of the transfer must have a bank account for the funds to be paid into. Personal clients usually use our services to transfer money between their own accounts in two different countries. Business clients usually use our services to transfer funds to suppliers, fund international operations, or repatriate overseas earnings.
MTFX offers currency exchange rates that are 2-5% better than those offered by the banks. Personal clients usually save hundreds of dollars per transfer and for larger transfers, the savings can run into the thousands. We also offer excellent customer service, dedicated currency specialists, and a 24/7 online platform with best-in-class technology that allows you to complete transfers from any device virtually anywhere in the world. Business customers save with better currency exchange rates and proven solutions geared towards managing and mitigating foreign exchange risk. Our solutions include forward contracts, market orders, rate alert services, and much more - all backed by great technology and great people.
Funds can be transferred via wire transfer, Electronic Funds Transfer (EFT), or ACH payment services. MTFX maintains bank accounts in all major currencies with highly-rated banks. Our banking infrastructure ensures that you can transfer funds to us quickly and securely.
Our global network of banking partners allows us to get funds to virtually anywhere in the world quickly and efficiently. Most wire transfers from MTFX will be received by your beneficiary within 24-48 hours. MTFX also offers same-day transfers that are almost instantaneous, as well as low-cost in-country payment services for your less urgent transfers. For further information please speak to one of our currency specialists.