Remarks from Goldman Sachs on the Canadian dollar, via eFX
- "Despite the Bank's more hawkish tone and the fairly aggressive pricing of hikes in the rates market, which was pulled forward further following the meeting, CAD has underperformed our models by about 1% in October"
- "While market pricing has accelerated across much of the G10, CAD is still one of our preferred longs in the region, particularly as it should benefit from higher oil prices over the next 3 months, the currency remains undervalued, and the BoC remains responsive to positive inflation surprises"
For bank trade ideas, check out eFX Plus.
