NA Central Bank outlook – Rabobank

By FXStreet Analysts at Rabobank noted the forthcoming Central Banks in the Americas.

Key Quotes:

“If we look to the south of the US we see a central bank firmly in Fed watch mode with Banxico likely to raise Mexican rates if and when the Fed hikes the US policy rate.

A look to the north of the US’ borders shows a different story however, with the Bank of Canada likely to hold rates for the next year even if the FOMC does move.

Philip Marey, Rabo’s Fed Watcher, expects two rate hikes from the Fed this year with the first in June and the second in December but despite this there is no reason to expect the BoC to follow and if anything, the Canadian central bank lively retains a slight easing bias albeit one we don’t expect it to act upon.

Market pricing is reflecting almost no chance of a policy shift in Canada this week.
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Source:: FX Street