In case the market did not get the message this morning, BOC governor Carney has returned to the wires this afternoon. He says the scale of monetary policy response is likely to be bigger in times of crisis. We’d consider this a crisis, and so does the market. They are taking USD/CAD up to fresh session highs at 1.2447.
Carney does warn that he “wouldn’t wait by the phone” for another round of coordinated interest rate cuts. Carny also advocates “fiscal stabilizers” worth about 1% of GDP.