Analysts at BNP Paribas say the Bank of Canada will be forced into another interest rate cut - a negative move for the value of the CAD
Underlying U.S. dollar strength and weaker oil prices below $45 kept Canada’s commodity influenced currency near the three-week lows hit Friday.
Near-term, the loonie will take a fundamental cue in Friday monthly growth data, forecast to show the economy grew a third straight month in August, albeit barely with forecasts of 0.1 percent.
The soft growth data has not been enough to convince the Bank of Canada that rates should remain where they are.
Indeed the steady rates profile - arguably a positive for the CAD at this stage - come despite the BoC revising down growth projections for 2016 and 2017 while…