Canada is set to release the latest inflation data for June, with forecasts indicating that inflationary pressures are expected to rise again as the domestic economy remains stable while demand continues to increase.

Additionally, the Bank of Canada (BoC) has released the Core CPI, which excludes volatile food and energy prices. It is expected that the Core CPI will increase by 1.8% year-on-year in May.

These economic data points are being closely monitored by the BoC as they could impact the value of the Canadian dollar (CAD) in the short term and affect the BoC's monetary policy, especially after the central bank cut interest rates by 25 basis points to 4.75% in June.

Source: Fxstreet