AUD to outperform CAD over the next 12 months - CIBC

Analysts at CIBC, consider that the Canadian Dollar may have peaked against the Australian Dollar if trade tensions ease, with domestic demand in Aust  |  16/08/2019 20:25

Analysts at CIBC,  consider that the Canadian Dollar may have peaked against the Australian Dollar if trade tensions ease, with domestic demand in Australia more resilient.

Key Quotes: 

“Commodity currencies have been generally weaker versus the US$ recently as trade and global growth uncertainties have risen. Against the Aussie dollar, the loonie recently touched its highest since 2010. Yet while that move makes sense given Australia’s greater exposure to the Chinese economy, domestic trends in the Canadian versus Australian economies suggest there’s more underlying strength in the latter.”

“Not only has annual GDP growth in Australia slowed less since its most recent peak, but also a greater portion of the easing can be pinned on exports and inventories rather than final domestic demand which has weakened noticeably in Canada.”  

“Should trade tensions ease or at least not escalate further, we expect AUD to outperform CAD over the next 12 months.” 

Share

Popular News

Show More Popular News

Market Insight's Views

Market Insight analyses will provide both fundamental and technical comprehensions on FX
and other asset classes for Market Insight viewers

RISK WARNING

The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you then this should be solely at your discretion and GKFX will not be held accountable in any way.

  • ForexF
  • IndicesI
  • CommoditiesC
        Back

        Login to Market Insight Account

        Your Market Insight account gives you access to the tools that we offer our customers including our
        Technical Studies & Sentiment for your accounts.

        Forgot Password?

        Don't you have a Market Insight account? With a few easy steps you can easily register to Market Insight

        Create a Market Insight's Account

        Your Market Insight account gives you access to the tools that we offer our customers including our Technical Studies & Sentiment for your accounts.

        register_ty

        Thank you!

        Welcome to Market Insight family!

        You have succesfully completed the registration.
        We will send you an e-mail to give you some
        instructions and our Terms and Conditions!
        Our account representatives will be contacting you as
        soon as possible. If you have any further questions
        please do not hesitate to mail us via info@marketinsight.com