There are no expectations of a rate hike, however, analysts will be looking to see what the FED is going to say about future rate movements. Indications are for a “wait and see” attitude with some reiteration of ready to move when called for. That being said, the longer the U.S. economy stays in a slow growth pattern, less chance of a rate hike.
The Canadian dollar is unchanged even with oil close to $60 USD a barrel, the unexpected drop in inventory numbers gave the boost to oil. It’s likely the Canadian dollar will remain in a holding pattern till after 11:00 am, when the FED comes out. All things being equal then the Canadian dollar will likely rally.
Currently Close Range
USDCAD 1.3330 1.3320 1.3316-1.3347
EURCAD 1.5137 1.5122 1.5116-1.5160
GBPCAD 1.7600 1.7674 1.7523-1.7688
US: Petroleum Status Report wk3/15
Crude Oil -3.9M Brls -9.6M Brls
Gasoline -4.6M Brls -4.6M Brls