Bitget App
Trade smarter
Open
HomepageSign up
Bitget>
News>
Canadian Dollar: Testing support after BoC hold – BBH

Canadian Dollar: Testing support after BoC hold – BBH

FXStreet2026/09/03 13:24

Brown Brothers Harriman’s (BBH) Elias Haddad observes USD/CAD is testing key support at 1.3800, where a break could open further downside. The Bank of Canada (BoC) delivered a hawkish hold, keeping rates at 2.25% but warning about increased upside inflation risks. Markets brought forward hike expectations, which Haddad views as too aggressive given core inflation near target and ongoing excess supply.

Loonie reacts to BoC guidance

"USD/CAD is testing key support at 1.3800, with a break opening the door to further downside. The Bank of Canada (BoC) delivered a hawkish hold yesterday."

"As was widely expected, the BoC kept the policy rate at 2.25% for a seventh consecutive meeting but warned that “the upside risks to inflation have increased.”"

"As a result, markets brought forward expectations for a first 25bps hike from January to December and firmed up odds of 75 to 100bps of tightening over the next twelve months."

"That’s too aggressive in our view given core inflation is near the BoC’s 2% target and indicators point to continued excess supply in the economy."

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
Understand the market, then trade.
Bitget offers one-stop trading for cryptocurrencies, stocks, and gold.
Trade now!

You may also like

Trending news

More
1
Eurozone: New growth paths after export peak – ING
2
ChargePoint releases transcript of fiscal Q2 2027 earnings call

Crypto prices

More
Bitcoin
Bitcoin
BTC
$79,974.3
+3.61%
Ethereum
Ethereum
ETH
$2,462.36
+2.58%
Tether USDt
Tether USDt
USDT
$0.9999
+0.05%
BNB
BNB
BNB
$718.94
+4.62%
XRP
XRP
XRP
$1.42
+5.74%
USDC
USDC
USDC
$1.0000
+0.02%
Solana
Solana
SOL
$102.8
+3.51%
TRON
TRON
TRX
$0.3294
+1.47%
Hyperliquid
Hyperliquid
HYPE
$83.58
+2.74%
Zcash
Zcash
ZEC
$859.66
+5.47%
How to buy BTC
Bitget lists BTC – Buy or sell BTC quickly on Bitget!
Trade now
Become a trader now?A welcome pack worth 6200 USDT for new users!
Sign up now
Trade smarter