# Hot U.S. inflation signal throws Bank of Canada a curveball

> US first-quarter GDP grew 1.6%, below estimates, while core PCE inflation rose 0.3% in March. Markets pushed expectations for the first Fed cut to December, and the article says the Bank of Canada faces a wider rate gap that could weaken the Canadian dollar.

- Date: 2024-04-29 · published 2024-04-29T12:00:00.000Z
- Category: macro · region Canada · magnitude low
- Page: https://feedsoft.ai/events/30971-hot-u-s-inflation-signal-throws-bank-of-canada-a-curveball
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md)

## Why it matters

A wider Canada-US rate gap tends to weaken the loonie and raise the cost of imported goods in Canada, which feeds into domestic feed and input costs.

## Read by commodity

- USDCAD: bullish ▲

## Sources

- financialpost.com: https://financialpost.com/economy/hot-us-inflation-bank-of-canada-curveball/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.