CAD to begin recovery in H2 2015 – BNPP

FXStreet (Barcelona) - The Research Team at BNP Paribas, give the outlook for Canadian policy rates and USD/CAD into 2015 and 2016.

Key Quotes

“The CAD should begin to recover in H2 2015 as commodity markets stabilise and the BoC gradually shifts to a less dovish stance. Moreover, with Canadian data holding up, there is further scope for the rates market to unwind dovish BoC expectations.”

“USD/CAD year-end forecast: 1.26 in 2015, 1.18 in 2016”

“Policy rate year-end forecast: 0.75% in 2015, 2.00% in 2016”