Confirming you are not from the U.S. or the Philippines

By giving this statement, I explicitly declare and confirm that:
  • I am not a U.S. citizen or resident
  • I am not a resident of the Philippines
  • I do not directly or indirectly own more than 10% of shares/voting rights/interest of the U.S. residents and/or do not control U.S. citizens or residents by other means
  • I am not under the direct or indirect ownership of more than 10% of shares/voting rights/interest and/or under the control of U.S. citizen or resident exercised by other means
  • I am not affiliated with U.S. citizens or residents in terms of Section 1504(a) of FATCA
  • I am aware of my liability for making a false declaration.
For the purposes of this statement, all U.S. dependent countries and territories are equalled to the main territory of the USA. I accept full responsibility for the accuracy of this declaration and commit to personally address and resolve any claims or issues that may arise from a breach of this statement.
Cancel Confirm
We are dedicated to your privacy and the security of your personal information. We only collect emails to provide special offers and important information about our products and services. By submitting your email address, you agree to receive such letters from us. If you want to unsubscribe or have any questions or concerns, write to our Customer Support.
Confirm
Octa trading broker Sign up Log in
Octa trading broker
Open trading account
Trading news
Back
29 Mar 2023

BOC's Gravelle: Ready to act in the case of severe market-wide stress

Bank of Canada (BOC) Deputy Governor Toni Gravelle said on Wednesday that the BOC is ready to act in the case of severe market-wide stress and provide liquidity support to the financial system, as reported by Reuters.

Additional takeaways

"Quantitative tightening program will likely end sometime around the end of 2024 or first half of 2025; QT is working but will take some time to run its course."

"If faced with extreme event that caused severe dysfunction in government of Canada (GoC) bond market, bank could resort to large-scale GoC bond purchases."

"Bar is very high for bank to use large-scale GoC bond purchases to support market functioning again."

"Bank would only be offering extraordinary liquidity in extreme market-wide situations, when entire financial system faced funding constraints."

"Penalty pricing should be built into extraordinary actions whenever possible to make program unattractive once financial conditions improve."

"If bank were faced with a UK-style pension fund crisis, it could use its contingent term repo facility; this would reduce need for bank to conduct outright bond purchases."

"This level is well below current level of roughly C$200 bln; our best estimate is somewhere in the range of C$20 bln to C$60 bln."

"Canadian banks are not immune to spillover from events elsewhere, which can negatively affect things here."

Market reaction

The USD/CAD showed no reaction to these comments and was last seen losing 0.15% on the day at 1.3580.

Mar 29, 2023

Russia Unemployment Rate came in at 3.5%, below expectations (3.8%) in February

Russia Unemployment Rate came in at 3.5%, below expectations (3.8%) in February
Read more Previous
Mar 29, 2023

WTI failed to rally despite inventory decrease in the United States

Western Texas Intermediate (WTI), the US crude oil benchmark, retreated from weekly highs and reached $74.32 in the early New York session. Inventorie
Read more Next