The Canadian Dollar has received a welcome boost after GDP figures came out at 0.2% as expected. This is actually a decline from the previous figure of 0.5% but with the figure meeting expectations the currency has been bolstered, and gained on the US Dollar during today’s session.
With the oil price softening recently the Canadian Dollar has been under some pressure, but that hasn’t particularly impacted the GBP/CAD pair as the Pound is under immense pressure and has been since June’s Brexit vote, but especially through last month as the currency lost 5% or so after UK Prime Minister, Theresa May outlined the end of March next year as the time to invoke Article 50.
The governor of the Bank of England has been in the news over the past week after speculation within the city mounted that he planned on leaving his role quite soon, but fears over a premature exit were put at ease yesterday after it was announced that he’ll actually be extending his stay until 2019.
Despite being positive news for the UK economy and the Pound as certainty is what a currency craves, the currency is once again under pressure and actually down against almost all major currency pairs at the time of writing.
This week I’m expecting Thursday to be the busiest day of the week as the BoE’s most recent interest rate decision will be announced. The subsequent minutes will most likely consist of Carney’s decision this week to say on so I expect the tone of his speech to affect GBP exchange rates should he make any bold predictions.