08:00 AM EDT, 10/22/2024 (MT Newswires) -- In Canada, the industrial product price report (IPPI) at 8:30 a.m. ET is the lone release on Tuesday, covering September, noted Bank of Montreal (BMO).

Industrial prices were likely down 0.5% in the month, with raw materials prices falling 2%, said the bank.

While Canadians await a recount in British Columbia, and then a test to see who can form a provincial government, New Brunswick's election wrapped up on Monday with a Liberal majority, pointed out BMO. Susan Holt will take the spot of Progressive Conservative incumbent Blaine Higgs.

On the economic file, the Liberals have promised some targeted tax reductions -- such as PST on electricity and a natural gas tax cut -- and will also explore policy changes such as rent control and a basic income. Balanced budgets were promised through the forecast horizon.

The consensus and market pricing are fully expecting a 50 bps Bank of Canada rate cut on Wednesday and at least a steady stream of further 25 bps moves through March, stated BMO.

Against that backdrop, the Canadian dollar (CAD or loonie) is struggling and trades at $1.383/USD (72.3 US cents) early Tuesday, added the bank.