Bank of Canada's Macklem: Our forecast has inflation moving around 3% most of next year

<p>BOC's Macklem comments in a Globe and Mail article</p><ul><li>Inflation is going to be around 3% going forward</li><li>Surprised by ongoing strength in demand in the economy, and persistence of underlying inflationary pressures</li><li>Labor markets have eased a bit but remained a very tight</li><li>Our forecast has inflation hovering around 3% for next year and then gradually moving back to 2% target</li><li>Need to see a better balance in the labor market and we need to see wage growth moderate</li></ul><p>Despite the more hawkish tilt, the USDCAD is trading to a new session high. The price moved above its 100-hour moving average at 1.31937. Its 200-hour moving average looms above at 1.3242. The price is also above its 38.2% retracement of the move down from last week's high. That level comes in at 1.31937.</p><p>For an updated view of the technicals as we head into the close and into the new trading week, click on the video below.</p>

This article was written by Greg Michalowski at www.forexlive.com.