The Bank of Canada held its overnight rate for a sixth consecutive meeting on July 15, citing energy driven inflation pressures that are easing, with Canadian CPI slowing to 2.8% in June from 3.2% in May. The Federal Reserve also held its target band on July 29, but the vote split 9-3, with three FOMC members dissenting in favour of a quarter point hike. The Canadian dollar strengthened toward 1.40 per US dollar afterward, as the Fed's hold caught traders positioned for a hike off guard.
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