The Canadian media projects that the Liberal Party has won the general elections, and Mark Carney has been approved as prime minister. However, the results have been much narrower than the polls refer to. Currently, liberals are expected to be 167 parliamentary sites, which are not 172. This would mean that, as in the previous legislative composition, they must take the new Democratic Party (7 forecast places) to the coalition government, Ing FX analyst Francesco Pesis
USD/CAD is below 1.390 and is mainly run by US events
“As we had provided, the Canadian dollar does not like the liberal victory news of the minority, as the markets were likely to have evaluated most of the government scenario. The thin parliamentary lines are barely positive news for the country's currency, but CADs have been quite limited. USD/CAD is less than 1.390.
“With long-term consequences, Carney has promised to fight US President Donald Trump on harshly tariffs and its closer links with European countries may be an obstacle to trade speeches. Ultimately, it is a crucial question that USMCAs are USMCA early.
“We are currently maintaining a widespread USD/CAD view, as the correlation of the two currency has reinforced and the observed volatility is meaningfully lagging behind other USD crosses. We assume that most trading takes place in the summer between 1.37 and,40 and we target 1.39.”
