CAD gone Loonie - Nomura

Analysts at Nomura explained that in line with their thinking, and against market consensus’ expectations, the Bank of Canada (BoC) has raised interest rates again at its September policy meeting. 

Key Quotes:

"We think the BoC will continue to be guided by the data, but the tone of the statement today with respect to domestic and global growth remains upbeat. We are looking for another BoC rate hike by December."

"Positive momentum in the Canadian economy, and prospects for higher interest rates should continue to support the CAD. Based on our respective outlooks, we see USD/CAD falling sub 1.20 and NZD/CAD below 0.8700 in the near term."