# Posthaste: What rising inflation means to the loonie and the timing of a Bank of Canada rate hike - Financial Post

> The Canadian dollar reached about 83 US cents this month, and Bank of Canada Governor Tiff Macklem has warned that further gains could weigh on exports. Analysts at Capital Economics say commodity strength and a brighter economic outlook are behind the currency's rise. The article also discusses the possible timing of a Bank of Canada rate hike.

- Date: 2021-05-26 · published 2021-05-26T12:00:00.000Z
- Category: macro · region Canada · magnitude low
- Page: https://feedsoft.ai/events/47329-posthaste-what-rising-inflation-means-to-the-loonie-and-the-timing-of-a-bank-of
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md)

## Why it matters

A stronger loonie and possible earlier rate hikes shape the cost of Canadian-linked imports and the competitiveness of Canadian exports. Commodity price strength is the main support for the currency.

## Read by commodity

- USDCAD: bearish ▼

## Sources

- financialpost.com: https://financialpost.com/news/posthaste-what-rising-inflation-means-to-the-loonie-and-the-timing-of-a-bank-of-canada-rate-hike/

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