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Canadian Inflation Putting Pressure on BoC | Trump Administration Rescinds Oil Conservation Policy
Published August 20, 2018
Canada’s inflation hit the 3% mark for the first time since 2011, placing pressure on the Bank of Canada to accelerate interest rate increases. The consumer price index recorded an annual pace of 3%, quickening from 2.5% a month earlier.
The Trump Administration has declared a major policy statement that threatens to undermine decades of government action, stating that oil conservation is no longer an economic imperative of the United States. Crude oil futures are up this morning with West Texas Intermediate trading at $65.93.
EUR/USD is trading lower this morning currently at 1.1409. Limited economic data today should lead to less activity in the pairing. German PPI dropped to 0.2% this morning, short of the estimate of 0.4%.
Venezuela has issued a new currency called the sovereign bolivar that will be based on the Petro, a cryptocurrency backed by the country’s oil reserves. The net effect of the move is a 95% plunge in the official rate of the bolivar.