CANADIAN DOLLAR WOBBLES ON MONDAY AS CAD TRADERS BUCKLE DOWN FOR WAIT TO BOC

• The Canadian Dollar went in both directions on quiet Monday.
• Canada has another rate call looming ahead on Wednesday.
• A tepid start to the trading week leaves CAD traders to tread water.

The Canadian Dollar (CAD) went sideways on Monday, finding some gains against the Antipodeans but shedding further weight against the US Dollar. CAD traders are buckling down for the long wait to Wednesday’s rate call from the Bank of Canada (BoC), with a light economic calendar on the offer for the first half of the trading week.

The Bank of Canada is broadly expected to begin delivering a series of rate cuts this week as the Canadian central bank shrugs off a recent uptick in key inflation metrics and bends the knee to financial markets as well as housing industry advocates, an industry that accounts for an outsized proportion of the Canadian economy. Record housing prices are already crimping economic activity as Canada struggles beneath the weight of shelter and housing costs that have run well ahead of median incomes.