Bank of Canada Could Soon Reduce Bond Buying

The Bank of Canada (BoC) is expected to reduce its bond purchases in April, according to a recent report by Reuters citing market experts.

The move would signal developments in the recovery of the Canadian economy from the impact of the Coronavirus pandemic, but it would also be out of the tone currently adopted by central banks in the U.S. and Europe.

Reducing asset purchases could provide support to the Canadian Dollar (CAD), which topped G10 currencies since the beginning of 2021, gaining roughly 2% against its U.S. counterpart.