CAD/JPY Buy Set Up Update
Since my last video, CAD/JPY, has pushed above ¥100.00 on the exchange rate.
We now have the Bank of Canada talking about the possibility of 0.75% rate hikes, as inflation hit 6.70% this week, far above economists forecast for a rise to 6.10%.
The Bank of Japan maintains its stance to use yield curve control to keep interest rates low, sighting low inflation expectations over their forecast horizon.
The interest rate differentials between Canada and Japan continue to widen, supporting further strength in the Canadian Dollar.
With Oil prices remaining elevated, the commodity-linked currency could continue to strengthen against the Japanese Yen.
We now have the Bank of Canada talking about the possibility of 0.75% rate hikes, as inflation hit 6.70% this week, far above economists forecast for a rise to 6.10%.
The Bank of Japan maintains its stance to use yield curve control to keep interest rates low, sighting low inflation expectations over their forecast horizon.
The interest rate differentials between Canada and Japan continue to widen, supporting further strength in the Canadian Dollar.
With Oil prices remaining elevated, the commodity-linked currency could continue to strengthen against the Japanese Yen.
Kayan Kalipha
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