EUR/CAD Steady Ahead of ECB Decision as Investors Await Lagarde's Message

The EUR/CAD exchange rate has remained steady at around 1.6060 on Thursday, awaiting the European Central Bank's (ECB) monetary policy decision later today.

Markets expect the ECB to raise its Deposit Facility Rate by 25 basis points to 2.5%, which is largely priced in already.

Investors will focus on the monetary policy statement and Christine Lagarde's press conference for clues on future interest rate hikes.

The recent inflation data show annual Eurozone inflation accelerating to 3.3% in August, putting pressure on the ECB to maintain a restrictive stance.

A hawkish message from Lagarde could support the Euro and push EUR/CAD higher, while indications that the tightening cycle is nearing its end might weigh on the pair.