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17 Jul 2013
Flash: Poloz's first, expectations - BMO
FXstreet.com (London) - Greg Anderson FX Strategy at BMO comments on Poloz’s first.
He said, for Poloz and the BoC, the chance of breaking new territory is low. "Solid data of late argues against dropping the tightening bias and so do rising energy prices and the effect of exchange rate pass-through on CPI".He explains it is also possible that the BoC could drop its twin mentions of “persistent strength of the Canadian dollar” and “historically high levels of residential investment” in the press release. However, he expects those nicely offsetting concepts to remain, even if language is altered slightly.
He said, for Poloz and the BoC, the chance of breaking new territory is low. "Solid data of late argues against dropping the tightening bias and so do rising energy prices and the effect of exchange rate pass-through on CPI".He explains it is also possible that the BoC could drop its twin mentions of “persistent strength of the Canadian dollar” and “historically high levels of residential investment” in the press release. However, he expects those nicely offsetting concepts to remain, even if language is altered slightly.