All analysts surveyed expect the Bank of Canada to cut by 25bp today, Wednesday, July 24

The Bank of Canada meet today, announcement due at 0945 Eastern time:

The survey referred to is conducted by the Wall Street Journal:

• All 14 economists surveyed last week by The Wall Street Journal predicted Canada’s central bank would cut its benchmark rate by a quarter point, to 4.5%.
• majority of analysts surveyed expect the policy rate to end 2024 at 4%, and move lower still next year to 3%

• BOC surveys showed that “high interest rates and elevated price levels are dampening aggregate demand through many channels,” said Dominique Lapointe, head of macro strategy at Manulife Investment Management.

• “Inflation was sufficiently tame in June after the pop in May, while the broader economic backdrop remains soft. The latter suggests there’s more disinflationary pressure coming,” said Benjamin Reitzes, an economist at BMO Capital Markets.

The Journal is gated, here is the link if you can access it.

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eFX had a contrary view coming from JP Morgan:

• JP Morgan is Leaning Towards a Hold at This Week’s BoC Meeting

This article was written by Eamonn Sheridan at www.forexlive.com.