Canadian Dollar Hits Five-Week Low as April CPI Clips Rate-Hike Bets
Canada's dollar fell to a five-week low after April inflation data came in softer than expected, trimming rate-hike bets. Consumer prices rose 2.8% from a year earlier, below the 3.1% forecast and up from 2.4% previously, while the monthly reading slowed to 0.4% from 0.9% and undershot a 0.7% estimate.
Core readings were steadier, with the Bank of Canada core CPI measure at 0.2% month on month, unchanged from the prior month, and Canadian core CPI at 0.1% after 0.0% previously. The currency move contrasted with a bond market that was unconvinced by the below-expectations inflation report.
From the sources (8 posts)
@financialjuiceCanadian CPI YoY Actual 2.8% (Forecast 3.1%, Previous 2.4%)
@financialjuiceCanadian CPI MoM Actual 0.4% (Forecast 0.7%, Previous 0.9%)
@financialjuiceBoC Core CPI MoM Actual 0.2% (Forecast -, Previous 0.2%)
@financialjuiceCanadian Core CPI MoM Actual 0.1% (Forecast -, Previous 0.0%)
@zerohedgeCANADA APRIL CONSUMER PRICES RISE 2.8% Y/Y; EST. +3.1%
@reutersbizCanadian dollar hits five-week low as CPI data clips rate-hike bets
@businessCanada got its inflation reading for April, which came in below expectations. But the bond market was unconvinced by the good news. Read more in the Canada Daily newsletter.
@reutersbizCanadian dollar hits five-week low as CPI data clips rate-hike bets