Quick bid in the loonie on the headlines

  • Higher interest rates expected given the economy
  • Interest rates are still at a historically low level
  • Fiscal plan is to lower debt-to-GDP ratio

Morneau spoke in a Bloomberg TV interview. There were rumblings from the finance ministry that they were unhappy with the BOC hikes but, evidently not.

Morneau probably wasn't trying to tip anything but USD/CAD is lower by about 30 pips to 1.2345 on the headlines.