USD/CAD: scope for further CAD gains - Citi

Analysts at Citi offer their outlook on the Canadian dollar, in its latest client note released overnight.

Key Quotes:

“We think one would be loonie not to sell USDCAD

Barrier eroded to hawkish signals for a data dependent central bank

Room for rate expectations to rise against a backdrop of average CPI at 5y highs and firm inflation expectations present a mechanism for further CAD gains, particularly against the USD.”