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5 Things to Know Today: BoC Decision, TSX 3-Week High, GTA Home Sales Surge

  Here's what Canadians need to know this Monday — a Bank of Canada decision two days out, a stock market at a three-week high, and a new benefit year kicking in for families. 1. Bank of Canada Decision Lands Wednesday The Bank of Canada announces its next interest rate decision on Wednesday, July 15 , alongside a fresh Monetary Policy Report. After five straight holds, markets are overwhelmingly pricing in a sixth: the overnight rate is expected to stay at 2.25% . Cooling oil-driven inflation fears and a stronger-than-expected June jobs report have taken pressure off the Bank to move in either direction. What it means for you: If you're carrying a variable-rate mortgage or HELOC, expect no change to your payment this week. Fixed-rate shoppers should watch bond yields going into Wednesday — any surprise in tone from the Bank could move fixed rates faster than the overnight rate itself. 2. TSX Closes at a Three-Week High The S&P/TSX Composite ended Friday's session up 1...
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US Dollar Plummets as Federal Reserve Signals Rate Cuts in 2024

 


The US dollar has taken a hit after the Federal Reserve’s latest economic projections indicated that the interest-rate hike cycle has come to an end and lower borrowing costs are coming in 2024 . The Bloomberg Dollar Spot Index fell for a fifth day as fears of a recession and dovish Fed commentary spurred investors to wager the central bank will have to reverse its most aggressive tightening cycle since the 1980s .

The US dollar has fallen to a four-month low after the Federal Reserve’s latest economic projections indicated that the interest-rate hike cycle has come to an end and lower borrowing costs are coming in 2024 . The dollar slid to the weakest level since early August as swap traders ramp up bets the Federal Reserve will cut interest rates as early as May. 

The dollar remains vulnerable until we see a shift in market expectations for the Fed and that may be a 2024 story. With the dollar rally stalled, it will take some firm real sector data to challenge the current dovish Fed narrative.

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