{"id":111157,"date":"2025-01-29T20:04:00","date_gmt":"2025-01-29T16:04:00","guid":{"rendered":"https:\/\/noortrends.ae\/en\/?p=111157"},"modified":"2025-01-29T22:11:37","modified_gmt":"2025-01-29T18:11:37","slug":"canadian-dollar-weakens-after-boc-cuts-rate-ends-qt","status":"publish","type":"post","link":"https:\/\/noortrends.ae\/en\/canadian-dollar-weakens-after-boc-cuts-rate-ends-qt\/01\/29\/market-updates\/","title":{"rendered":"Canadian Dollar Weakens After BoC Cuts Rate, Ends QT"},"content":{"rendered":"The Canadian Dollar declined 0.25% against the US Dollar on Wednesday following the Bank of Canada&#8217;s (BoC) decision to cut interest rates by another 25 basis points to 3%. This move, the third consecutive rate cut, comes after the BoC raised rates aggressively in 2023, reaching a peak of 5% in July.<br \/><br \/>The BoC also announced the end of its quantitative tightening program and signaled a potential return to asset purchases in early March. However, Governor Tiff Macklem emphasized that full-scale quantitative easing is not imminent. The looming threat of US tariffs is a significant factor influencing the BoC&#8217;s policy decisions.<br \/><br \/>Market Impact and Outlook<br \/><br \/>Despite the recent weakness, the Canadian Dollar remains within its recent trading range, keeping USD\/CAD near the 1.4400 level. With the interest rate differential between Canada and the US expected to widen further, the Canadian Dollar&#8217;s upside potential is limited.<br \/><br \/>The BoC has acknowledged the Canadian Dollar&#8217;s multi-year lows against the US Dollar but has not yet taken significant policy action to address it. However, continued weakness could prompt further adjustments.<br \/><br \/>Technical Factors <br \/><br \/>USD\/CAD has been trading sideways between 1.4300 and 1.4500 for over six weeks. While a break above 1.4500 is possible, a decline below the 50-day Exponential Moving Average (around 1.4270) could trigger a more significant bearish move.","protected":false},"excerpt":{"rendered":"<p>The Canadian Dollar declined 0.25% against the US Dollar on Wednesday following the Bank of Canada&#8217;s (BoC) decision to cut interest rates by another 25 basis points to 3%. This move, the third consecutive rate cut, comes after the BoC raised rates aggressively in 2023, reaching a peak of 5% in July.The BoC also announced &hellip;<\/p>\n","protected":false},"author":13,"featured_media":95031,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[37,36],"tags":[6932,6889,7740],"class_list":["post-111157","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-forex-markets","category-market-updates","tag-boc","tag-cad","tag-rate-cut"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/111157","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/13"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=111157"}],"version-history":[{"count":2,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/111157\/revisions"}],"predecessor-version":[{"id":111161,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/111157\/revisions\/111161"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/95031"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=111157"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=111157"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=111157"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}