Bank of Canada rate decision today
Bank of Canada Governor Stephen Poloz will announce the BoC’s key rate decision this morning at 10 a.m. Although investors expect the rate to remain unchanged at 0.50%, Mr. Poloz could adopt a slightly more pessimistic tone regarding the outlook for Canadian growth. The loonie could then come under pressure and test the upper end of the range where it appears to have been stuck since May.
Also this morning, the International Energy Agency released its monthly report on the oil market. The IEA estimates that global production grew by 600,000 barrels per day in June to level off at 96 million bpd. The agency believes that the market is approaching balance, but abnormally high inventory levels could exert downward pressure on prices. U.S. benchmark WTI crude is down 1.5% this morning after gaining $2 yesterday.
