Content and data provided by various third parties and Fidelity - Terms of Use
Print.Print
Small font size A Larger text size A Largest text size A

Bank of Canada Seen Leaning Dovish Later Wednesday, Says ING

BY MT Newswires | ECONOMIC | 06:19 AM EDT

06:19 AM EDT, 06/10/2026 (MT Newswires) -- ING said it expects the Bank of Canada to lean dovish when it announces its policy decision at 9:45 a.m. ET on Wednesday.

Canada is in a technical recession as trade and stalled investment weigh on the economy, writes the bank in a note to clients.

Uncertainty around USMCA trade deal renegotiations in July is weighing on sentiment and news that the province of Alberta wants to gain independence with an initial referendum in October isn't helping, stated ING.

Unlike many central banks being on the front foot against energy-driven inflation, most expect the BoC to be in no rush to tighten slightly expansionary monetary policy, added ING.

The bank doubts that expectations for the first BoC hike, currently priced for December, will move much after Wednesday's policy update.

This leaves the Canadian dollar (CAD or loonie) as a laggard in the G10 space, according to ING. Depending on what happens with the United States consumer price index later Wednesday, USD/CAD could be pressing strong resistance in the 1.3970/4000 area.

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.

More Fixed Income News

All Fixed Income News

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

© 1998 – 2014 FMR LLC.

All rights reserved.
fir_news_article