It’s going to be yet another slow day on the data front as the calendar is pretty empty. The main event will be the Bank of Canada rate decision. We will also hear from central bank speakers although they are unlikely to add anything new at this point.

13:45 GMT/09:45 ET – BoC Rate Decision

The Bank of Canada
is expected to cut interest rates by 50 bps and bring the policy rate to 3.75%.
Such expectations were shaped by governor Macklem mentioning that they could
deliver larger cuts in case growth and inflation were to weaken more than
expected.

Growth data wasn’t
that bad, but inflation continued to miss expectations and the last report sealed the 50 bps cut. Looking ahead, the market
expects another 25 bps cut in December and then four more 25 bps cuts by the end of 2025.

Central bank speakers:

• 09:00 GMT/05:00 ET – ECB’s Stournaras (dove – non voter in December)
• 13:00 GMT/09:00 ET – Fed’s Bowman (hawk – voter)
• 13:00 GMT/09:00 ET – BoE’s Breeden (neutral – voter)
• 14:00 GMT/10:00 ET – ECB’s Lagarde (neutral – voter)
• 14:00 GMT/10:00 ET – ECB’s Lane (neutral – voter)
• 15:30 GMT/11:30 ET – ECB’s Cipollone (dove – voter)
• 16:00 GMT/12:00 ET – Fed’s Barkin (neutral – voter)
• 17:00 GMT/13:00 ET – RBNZ’s Orr (neutral – voter)