On Wednesday, Bank of Canada (BoC) deputy governor Timothy Lane reiterated that the BoC did not believe that further rate cuts would be desirable.
“Although we never say never, the BoC’s decision is not to lower rates again,” added Lane. When asked if Canada’s credit rating could suffer due to additional government spending, Lane said it was not a major concern at this time.
The USD / CAD pair largely ignored these remarks and continues to consolidate its daily losses. At the time of writing, the pair was down 0.4% on the day at 1.3885.